Stella Nova began as a quest to serve others in health and beauty. Its flagship location at 292 King Street is both a retail store and makeup studio, carrying top brands and its own skin and body care line. Data was pulled from Stella Nova's IT system for two weeks, one in May and one in August, to analyze top selling product lines, quantities and prices that maximize profits, and how discount rates affect sales of top products. Bare Escentuals and Bumble & Bumble were among the top sellers, with discounts and quantities sold varying between the two weeks.

1. FRANCIE RUDOLPH JULIE MAZURKEVICH Stella Nova 292 King Street

2. STELLA NOVA’S MISSION BEGAN AS A QUEST TO SERVE OTHERS IN THE ARENA OF HEALTH AND BEAUTY. STELLA NOVA’S FLAGSHIP LOCATION, THE RETAIL STORE AND MAKE-UP STUDIO, AT 292 KING STREET IS WHERE IT ALL BEGAN AND IS AN ABSOLUTE MUST-STOP FOR ALL YOUR BATH, BEAUTY, HAIR, PERFUME AND MAKE-UP NEEDS. STELLA NOVA CARRIES THE WORLD’S MOST SOUGHT-AFTER, TOP-OF-THE-LINE BRANDS AS WELL AS THEIR OWN SIGNATURE STELLA NOVA SKIN-AND BODY-CARE LINE. Business Description

3. USING STELLA NOVA’S INFORMATION TECHNOLOGY SYSTEM, “SPABIZ”, WE WERE ABLE TO PULL THE FOLLOWING INFORMATION PRODUCT LINES TOTAL QUANTITIES SOLD OF EACH PRODUCT GROSS SALES DISCOUNT NET SALES DISCOUNT PERCENT AVERAGE PRICE PER UNIT (formula) AVERAGE REVENUE PER UNIT (formula) OUR DATA

4. WEEK 1 FROM 5-7-2009 TO 5-14-2009 AND WEEK 2 FROM 8-7-2009 TO 8-14-2009. WE DECIDED ON THESE DATES BECAUSE STELLA NOVA HAS THEIR ANNUAL CUSTOMER APPRECIATION SALE IN AUGUST, SO WE WANTED TO COMPARE A HIGH SELLING WEEK TO A “NORMAL” WEEK * We pulled the information from 2 different weeks.

5. WE WANTED TO FIND THE ANSWERS TO THE FOLLOWING QUESTIONS WHAT ARE STELLA NOVA’S TOP SELLING PRODUCT LINES? LOOKING AT THE NET PROFIT, AT WHAT QUANTITY AND SELLING PRICE WOULD MAXIMIZE PROFITS…HYPOTHETICALLY? HOW DOES THE CHANGE IN DISCOUNT RATES EFFECT THE QUANTITY SOLD OF OUR TOP 5 PRODUCTS HOW DOES THIS CHANGE RELATE TO THE BRAND IMAGE As Managers…

6. What are stella nova’s top selling products lines? May Pivot Chart August Pivot Chart $3,903.70 $1,925.22 $1,211.52 $1,443.50 $1,103.08 $4,523.32 $2,748.60 $1,881.02 $3,065.36 $2,329.54

7. What are stella nova’s lowest selling products lines? May Pivot Chart August Pivot Chart -$45.50 $8.50 $9.25 $2.18 $6.50 $2.75 $4.50 $6.25 $4.55 $5.25

8. What groupings of quantity and selling price will maximize net profits? Bare Escentuals for Month of May. $4320.778 $18.56 $19.81 $21.06 $22.31 $23.56 $24.81 211 4190.291 4472.504 4754.716 5036.929 5319.141 5601.354 201 3991.699 4260.537 4529.374 4798.212 5067.049 5335.887 191 3793.107 4048.57 4304.032 4559.495 4814.957 5070.42 181 3594.515 3836.603 4078.69 4320.778 4562.865 4804.953 171 3395.923 3624.636 3853.348 4082.061 4310.773 4539.486 161 3197.331 3412.669 3628.006 3843.344 4058.681 4274.019 151 2998.739 3200.702 3402.664 3604.627 3806.589 4008.552

9. What groupings of quantity and selling price will maximize net profits? Bare Escentuals for Month of August $5186.975 $20.13 $21.38 $22.63 $23.88 $25.13 $26.38 $27.63 233 5018.61 5330.248 5641.885 5953.523 6265.16 6576.798 6888.435 223 4803.219 5101.482 5399.744 5698.007 5996.269 6294.532 6592.794 213 4587.828 4872.716 5157.603 5442.491 5727.378 6012.266 6297.153 203 4372.437 4643.95 4915.462 5186.975 5458.487 5730 6001.512 193 4157.046 4415.184 4673.321 4931.459 5189.596 5447.734 5705.871 183 3941.655 4186.418 4431.18 4675.943 4920.705 5165.468 5410.23 173 3726.264 3957.652 4189.039 4420.427 4651.814 4883.202 5114.589

10. HOW DOES THE CHANGE IN DISCOUNT RATES EFFECT THE QUANTITIES SOLD OF OUR TOP 5 PRODUCTS Product Line Quantity Sold in May Discount Percent Quantity Sold in August Discount Percent Change in Quantity Sold Change in Discount Percent Change in Discount Percent/Change in Quantity Sold Bare Escentuals 181 3.33% 203 6.68% 22 3.35% 0.15% Bumble & Bumble 84 4.46% 131 21.39% 47 16.93% 0.36% L'Occitane 49 8.92% 41 21.27% -8 12.35% -1.54% Fresh 44 9.55% 84 26.18% 40 16.63% 0.42% Nars 41 4.77% 107 23.92% 66 19.15% 0.29%