Christopher Marchese 3-11-2015 Marketing Management Dr. Kirk Summary The Damn Heels case study is about a female business student form Ryerson University in Canada. She came up with the idea to turn heels into flat bottomed shoes. The reason behind this was to allow women to wears heels during the main events they were attending, and then when the events were over they could then transform the heels into heelless flat bottomed shoes. These shoes are planned on being issued at a lowered price point of $20 dollars compared to their …show more content…
Threats: One threat is that her idea is not patented. Any larger retailer can use her idea and become a direct competitor with her. Another threat is that she chooses to have her product delivered by air instead of sea. This may allow for a quicker turnover but since it is a startup business it might have been a better idea to have product shipped by sea which would be cheaper since capital is low. Question 2: From a qualitative viewpoint, discuss the pros and cons of launching this venture. From a qualitative viewpoint the positives consist of the product being made up of high-grade material. She has also hired an experienced designer for shoes designs as well as planning on creating a high-end websites for which to sell the product off of. The negatives of launching this venture from a qualitative view point are that the shoes are being manufactured in China. Customers may see this as low quality manufacturing and might feel more comfortable with the product if it was made in North America. Question 3: Identify all costs associated with this venture. Categorize these costs as fixed or variable. Fixed Cost: Apartment space and Utilities per month = $300 Website Creation Fee = $1,500 Variable Cost: Delivery by air (2 Weeks) = $600 Delivery by sea (6 Weeks) = NA Packaging cost = $0.08 per pair Brand Labeling cost = $0.25 per pair
5. Fixed costs can be discretionary or committed. Using your judgment based on the discussion in the case, identify which costs are likely to be discretionary. Assuming that management is able to decrease discretionary fixed costs by 10%, what would be the impact on Bridgestone’s break-even point revenues?
2.) What is the ‘relevant range’ for the cost structure? In other words, at what volume might you expect the fixed and variable costs to change appreciably?
In the summer of 2014 I was only 15 years and I wanted to find something I would like to do so I started looking on the internet at some trends that was big and the first one I saw was people collecting and buying sneakers so I thought I should try it out. So later on in the day I was still searching for sneakers that look good and the first one I saw was some sport blue 3s and they look nice to me and they came out that Saturday. Then some days went by and I still wanted them sneakers so I called footlocker and they said they were 190$ and I would probably have to camp out for them. So I got to footlocker at 10:00 at night to camp out there were about 3 people in front of me so I was guaranteed a pair but it was a long wait. So finally the
2.) For each expense that is variable with respect to revenue hours, calculate the cost per revenue hour.
While the knowledge that many amenities that are expected in America are not remotely available in some regions of Africa is common, shoes usually do not top that list. While many American cities institute laws requiring those in public to wear shoes, some African villages find the concept of footwear foreign. The problem of shoelessness extends beyond just comfort, as foot injuries spread disease, create life long disabilities, and reduce the quality of living for many children. Giving shoes to these children, then, seems like a fitting answer to a desperate situation. Companies built upon that answer such as TOMS shoes, however, end up contributing to impoverished conditions that drive shoelessness rather than reducing it in the long run.
“All of my life for sale” project seems to have shaped the way people sell items and new ways to get rid of used items that are no longer needed or wanted. Reviewing the description John Fryer put for the Converse Sneakers is subjective in all ways. His description of these sneakers was towards the manufacturer and manufacturing of the product then of the product condition itself. It was descriptive towards who and where these shoes were manufactured and the jobs that were lost due to it. He also describes other companies that have chosen to outsource to other countries and strip the workforce of America. He states “The last American made shoe, now made in China, while China holds American men and women hostage.. I don't see GE, Nike, GM or
Nova Heels is currently in their first year of operation. The company prides itself in creating fashionable heels for women all over the world. Presently, the company is starting off as a small online business. So far, Nova Heels has been well received and profits have surpassed the previous goals. Women all around the world are loving the heel because of the great quality Nova Heels promises. Heels are well-made with good material to ensure durability.
In Exhibit 2, Salem Data Services Summary (SDS) Results of Operations, First Quarter 2004, it focuses on fixed expenses and variable expenses. It is essential for SDS to understand their business costs. The fixed costs are those expenses that do not fluctuate with changes in the level of business activity. According to SDS Q1 report, these expenditures include items such as expenses, equipment costs, wages and salaries. The Variable costs are expenses that vary depending on a company's production volume that can either increase or decrease. The variable costs are the power and operations hourly personnel.
A heel spur is a calcium deposit, located on the calcaneus that protrudes outwards, also, known as calcaneal spur or osteophytes. Frequently discovered on the bottom of the heel and protrudes towards the toes, but they can also be located on the back of the heel. Heel spurs occur when calcium deposits build up; therefore, this is a development that frequently occurs over a period of several months. Heel spurs are frequently instigated via strains on foot muscles and ligaments, stretching of the plantar fascia, and repetitive tearing of the membrane that conceals the heel bone. According to Webmd, heel spurs are particularly common among athletes because of wearing inadequate fitted shoes. Heel spurs are also instigated to excessive weight gain/obesity, old age, diabetes, on their feet for long
High heels have definite life cycle as usual goods, varying from several months to years. High heel are trashed when the heels are worn out or crooked, the straps (if any) are broken, the shoes are scuffed and the insole is deformed after repeating loading, etc. These lead to replacement of not wearable high heels. Besides, when fashion trend and occasion changes, people are willing to purchase new high heels in different design to match their needs. Although the prolonged wearing of high heels causes foot-ache, many women are still fascinated by the
Pros: They focus on licensing, footwear and accessories. It has become a household iconic brand as they provide astonishing
Identify all costs, other than variable costs, for the sales representatives’ distribution strategy. Categorize these costs as investments and fixed costs (per sales representative and for fiscal 2005).
TOMs Shoes, one of the most notable shoe retailers in the entire world, has a purpose behind the selling of their phenomenal products; and it is quiet different than that of its competition. “Shoes for a better tomorrow” is their mission statement, which is on the front page of their website, Toms.com. Every time they sell a pair of shoes, a pair is given to a child in poverty whom is in need of shoes. I chose to critique this organization’s website solely because of this great mission they serve, and the means by which they go about doing so.
CSC, or better known as Charleston Shoe Company to the general public, is a local comfort brand that sells stylish shoes to women. CSC is a specific lexis that only members of Charleston Shoe Company would understand. This feature is defined by John Swales, who defines a discourse community in his book Genre Analysis. CSC recognizes that many women have problems with their feet, which can include bunions, high insteps, and plantars fasciitis. The Charleston shoes have elastic uppers so that the shoe can form to the foot, which makes them extremely comfortable while they remain in style. While the members of Charleston Shoe Company may seem like a regular group of people, in reality, it is a tight knit discourse community. According to John Swales, a discourse community has six identifying characteristics, all in which need to be present to decide if a community is a discourse community. The six characteristics include: Common goals, a system of intercommunication between members, participation that leads to information and feedback, one or more genres of communication, a specific lexis and a balance between levels of expertise (471-3). It was important that Swales created a definition of discourse community because all previous definitions were either too vague or were not clear in how to identify a discourse community (469). Now that it has been properly defined, one can see that discourse communities and rhetoric have a direct correlation.
Additional value was added to their value chain by increasing variety of the product, improving procurement strategies and minimizing time the product spends in transit, all while sustaining competitive advantage (“Value Chain,” 2010). Crocs went public in 2006 and reported $847 million in revenues in 2007 (von Briesen, 2009). Whether you loved them or hated them, almost everyone knew what they were and where to get them. Crocs used their product visibility to their advantage. A few years after their initial debut, they began making different styles of shoes and various accessories. Crocs shoe line expanded into the production of fashion shoes for all ages and genders, a professional line for those who were on their feet all day and a line for those with medical problems affecting the feet (Hoyt & Silverman, 2008). This expansion satisfied their current customer base by applying variety to their original concept and increased their