Afm 131 Mikes Bikes Report

Afm 131 Mikes Bikes Report

GYPSY MAX BIKES

PERFORMANCE REPORT

2009–2015



Table of Contents

Executive Summary3–4

Yearly Analysis

20095–6

20106–8 20118–10 201210–12 201312–14 201414–17

Conclusion

Final results........................................................................................................17

Strength and Weaknesses17–19 Opportunities and Threats19 Key Determinants of Firm's Performance20 Recommendations for the Future20

Appendices

Appendix A: Advertising & Market Share21 Appendix B: SHV result, Sales Revenue & Advertising/Distribution figures22–23 Appendix C: SHV graph, Equity financing, Distribution figures & Capacity Planner24–26 Appendix D: Multi–firm SHV, Profit & Market Share27–29 Appendix E: ... Show more content on Helpwriting.net ...Another reason to implement this strategy was to keep inventory at a minimalistic amount after the current rollover and to capture the market through aggressive advertising. We as a firm believe that in our first rollover we should concentrate on the attempt to spread awareness of our 'GYPSY MAX' company through high advertising and proper cash management to lay a solid platform for the future.

Operational Decisions As our strategy of 'high price–low volume' suggests, we wanted to sell our bikes at a higher price than was recommended by the market. In the first rollover however, we decided to increase the price of our bike from the recommended $550 to $579. We were being careful about the chances that other firms would not increase their price of the bike as much as we would, and thus capture more of the market by doing so. We felt that we needed to produce a bit more than the current capacity suggested, from 20,000 to 22,000 bikes. The cost of goods sold would decrease if we produced many bikes this rollover, so the decision to produce more bikes on average only for this rollover was upheld.

Marketing Decisions The best possible way to sell our bikes at a higher price than normal was to advertise a lot. All the firms began at the same place, and the only way to differentiate our bike from our competitors is to raise our company name in the market and capture the

... Get more on HelpWriting.net ...