University of San Francisco Inventory Management Paper

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Assignment 1: Description

For the Final Project, you will create one to three (1–3) new SKUs for a brand and distribution channel of your choice. Either your distribution channel must include a store location, or you must create a pop-up store.

Use the information in this module to create a sales plan and financial merchandise plan for your chosen brand and item for the Final Project.

Use the templates below.

Pricing and Margin

  • Beauty margins are 40% in retail and 50% in professional products
  • Pricing must accommodate these margins and marketing expenses


  • A $20 product with a 50% margin costs $10
  • A $20 product with a 40% margin costs $12

Product Manufacture Cost + Marketing+ Manufacturer Profit= $10 in this case or Wholesale Cost

Assignment 2: Managing Dead Inventory


How do you keep OTB free so you can buy for growth? Think of what you would do to free up OTB, so you can buy more for promotion. How would you know what items should be marked down? Consider the scenario presented in this module on Page 5, and offer options for how would you liquidate a dog or how you might handle a question mark.

Please comment on two other students’ answers. Thank you!