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The Zoecon Corporation expand the distribution to a 19 city area in the consumer market. The following justification is offered based on the decision factor below.
Market Characterization. The premise insecticide market consists of the consumer market and the professional pest control market. The estimated annual sales for insecticides in the consumer market in 1985 were $400 million with a forecasted growth rate of 10% per year through 1990. Therefore annual sales were projected to be $440 million in 1986 (the problem year presented in this case). The southern tier of 14 states accounted for 50% of the annual sales, with May-October being the peak season...
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