please answer this question

Question

1. You are the CEO of Hublot. Your Business Development Director brought a very impressive business case. And according to him/

a.      Watch can be sold for USD 900.00

b.     Gross profit for each sale is USD 600.00

c.      Expected Return on Investment is 18 months.

d.     And the look is very classy and modern.

 

From this information, will you approve the project? Or will you reject the project?

Justify your decision.

Answer 1

At this stage I would not approve the project. What is the expected return on investment? How many do they expect to sell, in what types of markets, to what type of person, etc. Why is this watch valued at $900? If I am the CEO I need to know all of the above and more before I approve the project. Too, it would be nice to see it. There are watches out there that sell for $400 that are a watch, a phone, a health monitor, and internet.