Answer to Question #189167 in Finance for Arefin

Question

Analytical and Application of Concept Based Comprehensive Problem

Answer 1

1. This will be a causal research using quantitative and qualitative data on sales and cost of raw material, marketing strategy and cost of capital.

2. The dependent variable is the profit which is affected by the independent variables are cost of raw material and product variants, the mediating variable is the marketing strategy. We are studying the reason of a dip in profits and hence, it becomes our dependent variable. It is directly affected by the increase or decrease in the raw material cost and hence, the raw material cost becomes our independent variable.

3.Raw material cost will be measured as is available in the procurement list. The effect of marketing strategy will be understood through the qualitative analysis which can be conducted through surveys and interviews.