Task 1:
Examine theDirt Bikes U.S.A.case study and reviewHow to Analyze a Case Study. After reading the case study, review the following information:
? Company History and Background
? Organization Chart and Employees
? Products and Services
? Sales and Marketing
On the basis of this information, answer the following questions:
Which products should the company restock?
Which stores and sales regions would benefit from promotional campaigns and additional When (what time of year) should the company
offer products at full price and when should it offer discounts?
Task 2:
Dirt Bikes' management wants to be sure that it is pursuing the right competitive strategy. You have been asked to perform a competitive analysis of the company to find the information you need. Prepare a report that analyzes Dirt Bikes using the value chain and competitive forces models. Your report should include the following:
1. Which activities at Dirt Bikes create the mostvalue?
How does Dirt Bikes provide value to itscustomers?
Who are Dirt Bikes' major competitors? How dothe prices of their products compare with those of Dirt Bikes'? What product features do they emphasize?
What are the competitive forces that can affect the industry?
What competitive strategy should Dirt Bikes pursue?
What information systems best support that strategy?
(Optional) Use electronic presentation software to summarize your findings for the management.
Task 3:
Dirt Bikes would like to implement new software for production planning, quality control, and scheduling. The software will be used by 25 members of the company's manufacturing staff. The management is wondering whether to purchase the software from a commercial vendor along with the hardware required or to use a hosted software solution from a Software as a Service (SaaS) provider. (The hosted software runs on the service provider's computer.) You have been asked to help the management with this rent-versus-buy decision by calculating the total cost of each option over a three-year period. The cost of purchasing the software includes the initial purchase price of the software (licensing fee of $100,000 in the first year), and the cost of implementingand customizing the software in the first year ($20,000). Hardware costs include a server to run the software (a first-year purchase of $4,000), one information systems specialist devoting half his or her time to support the software ($55,000 in full-time annual salary and benefits with a 3 percent annual salary increase each year after the first year), and user training in the first year ($10,000).You also need to account for the cost of annual software upgrades ($5,000). On the other hand, the costs of renting hosted software include the rental fees ($2,500 annually per user), implementation and customization costs ($12,000 in the first year), and training ($10,000 in the first year).
Use your spreadsheet software to calculate the total cost of renting or purchasing this software over a three-year period. Identify the lowest- price alternative that meets Dirt Bikes' requirements.
What other factors should Dirt Bikes consider, besides cost, while determining whether to rent or buy the hardware and software?
(Optional) If possible, use electronic presentation software to summarize your findings for management.