# Learning Business through a Virtual Lemonade Stand

###### Contributors: Uttarika Shetty(urs2104), Jason Reid(jdr2182), Sameen Asghar(sa3860)

> For our midterm we have created an educational tool that is similar to a :video_game: that students can use to learn about economics and marketing of a business.
> Here's the code :arrow_right:
https://codepen.io/Uttarika/pen/XWNPEeZ

## :memo: How does it work?

### Parts of the tool

- [x] Understand the supply of the lemonade
- [x] Respond to the demand
- [x] Market the lemonade to relevant audience

## Overview

This is a game recomended for teens to learn more about Entrepreneurship! Complete the exercises below to learn more about topics such as Economics and Marketing. Some of the key concepts learned through this game include:
* The Laws of Supply and Demand
* Unit Economics
* The 5 P's of Marketing (Product, Place, People, Price, Promotion)
* The Profit/Loss Formula (Profit/Loss = Revenue - Costs)

## Part 1

The first component of the tool deals with the supply side of the business. In this section, the students are given some information about the amount of ingredients required to make one jar after which they are given promopts about different amounts of lemonade and they have to choose which one which fits the requirement without making extra because minimising waste is also an important component of the business.

Choice of code: We used radio buttons in this section to highlight their choices.

## Part 2

Through understanding the unit economics of each cup of lemonade, users can generate a price that can be used to establish the marketing campaign. The overall goal of the marketing module is to help users understand the concepts that are used in developing a marketing campaign, such as considering the 5 P's of Marketing (Price, Product, Place, Promotion, People). Through setting a marketing campaign, users will understand how to marketing good effectively to satisfy the potential demand for their goods, thus generating a profit. Users are given demographic profile of potential lemonade buyers who have different purchasing habits. Correctly choosing the marketing campaign that meets the needs of the target audience will allow user to generate sell more lemonade and generate a profit. But be careful, some marketing campaigns might be less effective than others and might result in a loss!

:bulb: **Hint:** Teens love social media!

### Part 3: Calculation Of Profits based on the sales generated.

After launching their marketing campaign, the tool predicts the sales that would be generated based on the user choice of people, place and promotion. Please refer to the table below:

| Scenario Analysis | People | Place | Promotion | Sales Generated |
| --- | ------ |:----------------- | ------------ | --------------- |
| Best Case 1 | Teens | Recreation Center | Social Media | 100 cups |
| Best Case 1 | Adults | Main Street | Flyers | 100 cups |
| Base Case 1 | Teens | Recreation Center | Flyers | 80 cups |
| Base Case 2 | Teens | Main Street | Social Media | 80 cups |
| Base Case 3 | Adults | Recreation Center | Flyers | 80 cups |
| Base Case 4 | Adults | Main Street | Social Media | 80 cups |
| Worst Case 1 | Adults | Recreation Center | Social Media | 20 cups |
| Worst Case 2 | Teens | Main Street | Flyers | 20 cups |

If the sales generated is 100 or 80, the user makes a profit and if the sales generated is 20, the user makes a loss.

They get a detailed report of their campaign which includes:
* Sales
* Price per Cup
* Revenue
* Costs
* Profit/Loss

At the end, the user identifies if they made a loss/profit and has an option to try the campaign again.

**Below is a table of all of the potential Profit/Loss Outcomes:**

| Price/Cup | Quantity Sold | Revenue | Direct Costs | Profit/Loss |
| --------- | ------------- | ------- | ------------ | ----------- |
| $0.50 | 100 | $50 | $37 | $13 |
| $0.50 | 80 | $40 | $37 | $3 |
| $0.50 | 20 | $10 | $37 | ($27) |