Onda de Mar: Catching the next wave
QUESTION 1. Pros and Cons
PROS OF THE EXISTING BRAND AND BUSINESS MODEL | CONS OF THE EXISTING BRAND AND BUISNESS MODEL (WITH POTENTIAL FOR IMPROVEMENT) | One of the two founders (Arango), wants to cash out the company. | The second founder (Queipo) does not want to sell. However this founder is the soul and designer of the company. | Onda de Mar is an internationally (30 countries) high quality and proven brand with high revenues ($4 million in 2006).Potential to increase revenues in Europe. | Onda de mar is in urgent need of cash to exploit the potential of the market. The big investment will be in improving the performance of the company, not in buying the share itself. | The growth of
…show more content…
* Tribeca will have to invest a significant amount of money in changing the cons with potential for improvement mentioned above. |
QUESTION 2.
How to create value in Onda de Mar? * Buy the share from Arango, and Keep the designer (Queipo) Persuade her to come back to Medellin, where the production facilities are. * Investing in improvements of the productions facilities, acquisitions of software programmed cutting machines, which can be standardized and easily updated with new designs. (Similar to those used in Zara’s facilities). * Increase productivity to meet the demand of the market: production of standardized parts that are adaptable to new trends. Implement a homogeneous set of pieces and play with materials, accessories, mixture of pieces and designs of the fabrics. * Keep the production facilities in only one location –Colombia-, to take advantage of the low cost and also to maintain the high responsiveness required in the fashion industry. * Build local sales office in each region to maintain contact with the Colombian based manufacturing facility. At the same time try to reduce the distributors and increase direct sales, a franchising model could be evaluated. * Review the pricing strategy; the brand is targeting high quality, premium priced products; in all countries the prices should target consumers of luxury products. * Onda de Mar is already selling at a premium in Colombia, an increase in prices will have
Adams Onis- international treaty signed in Washington on February 22, 1819 between the United States and Spain on territorial demarcation in North America. Treaty gave the transfer of Florida from Spain, the United States and defined the border between the United States and Spanish Mexico. Signatories to the agreement were US Secretary of State John Adams and Spanish Foreign Minister Luis de Onis and Gonzalez Vara.
If this plan is accepted and approved by the board of directors, we will have another meeting soon to discuss and confirm further information about the investment. It is predicted that the plan can be initiated by January 2014. The full cost for this investments are assessed at USD $75 million as analysed in the following proposal.
products, have attracted a lot of customers throughout the world. The company has a huge
As shown in the text in Exhibit 6, using a 5% annual growth rate to infinity would only yield a total PV of $35 million. Selling a 60% equity interest to Sierra Capital Partners for $40 million would barely cover the cash insufficiency Sierra projected for next year (2005). This tells us that there is a need for further, more extensive financing for the years to follow (2006+).
When a product is designed a specification is created to determine the standards for the product. In manufacturing these standards are given an allowable range. The most common attributes for these types of products are size, shape, color, weight, and piece count. The standards placed on these attributes determine the material used, equipment needed for processing, and labor. The tighter the standards are on these attributes the higher the cost is to produce. In today’s market, there is a demand to produce high quality products at competitive price
Corona had a success of almost one decade in the Japanese market also due to the clear and structured partnership between Modelo, Export Brands International and
Perhaps Placido would have to find other suppliers that will meet the demands for a low cost, that would be an advantage for the company.
Alternatives: There are three approaches to address the worldwide issues listed above. In an aggregation approach, Bimbo can decide to operate the way it does in Mexico across all borders. By doing so, it would benefit from its efficient local practices in manufacturing and distribution but will ignore local or regional needs. In an arbitrage approach, Bimbo can take a transnational approach, maintaining their current products while taking each region or country’s needs in consideration and doing business in local markets with the product and delivery system that meets their necessity. In an adaptation approach, Bimbo could take the specific needs of each location seriously and customize their products, distribution channels, marketing, and various efforts in order to specifically satisfy each market individually.
1. At State Assembly executive Cabinet is in charge of hearing and deliberating on legislature that the House and Senate chambers have passed, and to help the Governor reach a decision on whether or not to sign the bill into Florida Youth In Government Law. The Cabinet is also a key-role in the experience for a lot of delegates, and offers a truly unique opportunity for them.
A. Fe’nix del Sur must decide if they want to work with the mass-merchandise department store
During the first stage there is no export and no market experience as resources and capabilities are lacking. This was at the beginning of the company, during the formation period where Victor Hettigoda took a loan and established the company with limited resources.
The following case analysis will assess Coach Inc. and its strategy in the accessible luxury brand goods market. The coach strategy focuses on its luxury rivals in matching key quality styles while offering it at a cheaper price. The company offers most products at a 50% off discount price less than other brands which gives them a competitive advantage pertaining to its customer base. Coach marketed its products to middle –income consumers desiring taste of luxury, but also affluent and wealthy consumers with means to spend considerably more on a handbag (Gamble, 2012. P.C-73) .The Company also has several other strategies such as to increase global distribution, improve same store sales productivity and continue its multi-channel business model which includes indirect whole sales to third party retailers but also focuses on direct consumer sales. Coach has done well in the luxury goods industry but the companies profit margin is still below the levels achieved prior to the onset of a slowing economy in 2007 ( Gamble, 2012. P.C-73.The Company had experienced a decline in sales as they are unsure if the company recent growth could remain constant and maintain their competitive advantage with other successful luxury lines Michael Kors, Salvatore Ferragamo, Prada and Dolce & Gabbana.
Because some children have a severe reaction to a vaccine or to any of its ingredients, some side effects such as soreness, redness, or swelling, or severe side effects like severe allergic reactions, seizures, hearing loss or severe pain. The side effects are common and the severe side effects are rare. Furthermore, researchers have to show proof that a vaccine is safe thus it could be approved by the Food and Drug Administration.
When my father asked me to volunteer as a teaching assistant for the kindergarten class at the local Chinese school, I was apprehensive. Although I liked kids, helping my little brother with his alphabet strained my patience, so I imagined introducing kids to another language when they were just beginning to learn their own would be much worse. Fortunately, my worries were soon appeased. The teacher had endless patience and the nine children were as precocious as they were adorable. In the following months, as they learned the colors, numbers, and body parts in Chinese, I learned their favorite colors, what they wanted to be when they grew up, and what made them giggle. I discovered that working with children was as much of a trial of communications
Price is an important factor in Burberry as price affects the value that costumers perceive they get from buying a product (Jobber & Ellis-Chadwick, 2012). Burberry uses competitive pricing similar to its competitors which produces a psychological effect on Burberry customers (Jacobson, n.d). If Burberry for example lowered its price dramatically then customers may believe the quality has decreased and may presume it’s not worthy to be named a luxury brand. However by being expensive it suggest better quality and desire to sustain its customers as well as making there products seem exclusive.