Sean and Dylan Matthews Are Brothers Who Each Own and Operate

question 109

Essay

Sean and Dylan Matthews are brothers who each own and operate sports memorabilia shops in neighboring towns. They decide to have a contest to see whose shop can be more profitable for the year. At year-end, Sean's records show sales of $105,000, cost of goods sold of $55,000, and operating expenses of $21,000. The records of Dylan's shop reveal sales of $108,000, cost of goods sold of $62,000, and operating expenses of $19,000. Dylan's shop also had other revenue of $3,000 received for allowing the shop to be used in taping a television show. Each brother claims to have won the contest. Provide explanations as to why each would think so, and then name the winner.

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Definitions:

New Product Development

The process of bringing a new product to the market, involving idea generation, design, testing, and launch.

Survival

The ability of a business or organism to continue existence and operations in the face of adversity or competitive pressures, often requiring adaptation or strategic planning.

Early Adopter

An individual or organization that uses or purchases new products, technologies, or services before the majority of the market, often influencing trends and standards.

Diffusion Curve

A graphical representation showing the rate and pattern of adoption of a new product, technology, or idea over time among members of a social system.