Marketing as a Profit Center

You will operate the Marketing department as a profit center. Your performance will be measured by the contribution that you generate. Contribution is defined as revenues from sales minus the costs listed below. Note that your Profit and Loss statement is described in details in the section IV.2.B.

      R&D: budgets allocated to R&D projects;

      Production: costs of goods sold and inventory holding costs;

      Advertising: advertising media & research budgets allocated to marketed brands;

      Commercial: costs incurred by the commercial team, in all three channels;

      Market research: costs of market studies ordered in the period;