Globus

As we continue to move toward the end our quarterly objectives. I wanted to take the time to explain some of our costs. In our particular field of designing and manufacturing products, we are always engaging in ways that we can mitigate loss and improve our processes. Performing such changes will give a stronger presence in the market by allowing us to remain competitive.

A clear strategic plan was set out in the beginning, and adhered to throughout the course of the simulation. Our overall objective was to determine the correct mix and balance of camera components, which enabled the most favorable outcome in the competitive arena. In order to offset the cost structure of the multi-feature camera, a low cost structure for the entry-level camera was implemented. This was achieved by offering a differentiated, high end multi-feature camera, offset by a low cost leader entry-level camera.

* Sixteen companies competed in the automotive lift market in North America; 4 in Canadian, and 12 in the United States. The industry is dominated by two large U.S. firms, AHV lifts and Berne Manufacturing. AHV lifts has 40 percent of the market share and Berne manufacturing

As marketing costs account for a large portion of the total operating budget, setting up methods to evaluate and measure these marketing efforts will be a proper use of the business’s budget. The outcome of these measures will benefit us in the long run by becoming more profitable with increased sales and decrease in expenses and costs. The goal will be to sell enough units by projecting sales targets (monthly, quarterly and annually) to achieve a break-even point during the first year. A large portion of the budget for advertising will be allocated during the first year of business, to ensure product survival and prepare for the possible increased competition in the following years. Continued product improvement and R&D will be another important factor kept in

The company has maintained its core strength by its name which has become quite synonymous as connected with the fitness market.

With the success of the company and the offerings of reasonable prices with bulk discounts, broad product

Very successful distribution chain, as this is highly important in order to get products from one location to another.

The following areas supported the company’s overall strategy and objectives using strengths of CCS and reducing costs, yet maintaining quality.

Aperture Cameras consistently returned the highest net income (Fig.3), which provided the base for strong earnings per share (EPS) and return on equity (REO). For example, Year 6 earnings per share was $3.57 and increased in each subsequent year, ending Year 12 at $7.25. The improved EPS was accomplished with providing consistent well thought out modifications to the business model and not significant stock repurchase. The company did strategically make annual stock repurchases starting in Year 8. Return on Equity (ROE) was maintained at a consistent weighted average of 23.7, representing the average of ROE from a low of 21.0 to a high of 27.1. Management elected to operate the company with sound business principals and avoid aggressive changes in the balance sheet and/or P&L, which could dramatically swing the ROE.

     Despite the fact that the unemployment rate is at the national average of 5.4% (as of Feb. 2005), there seems to be a negative stigma about Rochester. Upon taking a

The following information is a recap of our key metrics from year 0 through year 6. Our SPI has grown 67% since year 1. Original SPI was 1,000 and ended at a SPI of 1,668 after year 6. We have experienced substantial growth in revenue in first 6 years. Original revenue was M$39 and ending revenue was at M$113. Overall, revenue increased M$74 in six years. Our Earnings Before Taxes (M$) was M$13 in year 0 and ending Earnings Before Takes was M$41. We had very strong results with Earnings Before Taxes increasing by M$28 from the beginning of Simulation. Team Monkey Total Market Share by units (%U) actually decreased from year 0 to year 6. Total market share was 25% in year 0 and 11%U of total market share at

Currently, the industry leaders in terms of market share are two large U.S. firms, AHV lifts and Berne Manufacturing. AHV lifts controls roughly 40% of the market and has annual sales around $60 million. They offer both in-ground and surface hoists and compete primarily on price. They are also the only company in the industry with its own direct sales-force. All other companies in the industry either use wholesalers or a combination of wholesalers and company sales-force. Berne Manufacturing (roughly 20% market share) also competes in the in-ground and two-post

Variables define and possible value are show in the Table 3.1. The 32 different designs are show in the Table 3.2. In order to make purchase intent measurable we used a 7-point scale to measure how likely

___ 44 Markstrat Main Screen __________________________________________________________ 44 Brand Portfolio Decisions ________________________________________________________ 46 Marketing Mix Decisions ________________________________________________________ 47 Market Research Studies ________________________________________________________ 49 Sales Force and Distribution ______________________________________________________ 50 Research & Development Decisions ________________________________________________ 51 Checking your Decisions _________________________________________________________ 52 Validating decisions with the Marketing Plan Tool ____________________________________ 54

The Company has been able to build on its leadership position because of its single minded focus on value creation for the consumer through significant investments in product design, innovation, manufacturing technology, quality, marketing and distribution.