Chapter 3, Problem 1CE3

a.

Explanation of Solution

Analysis of five forces of Singing Valley Market:

The analyses of five forces of Singing Valley Market are,

• Bargaining power of customers: The email system of Singing Valley has a negative effect in the market, the customers can negotiate prices and get more discounts at a cheaper rate.
• Threat of substitute:  Due to rising complains and dissatisfaction on Singing Valley, the customers can choose for other service providers like Yo, Hw and so on.
• Bargaining power of suppliers: The bargaining power of suppliers will increase because of weak force of the company...

b.

Explanation of Solution

Statement of Singing Valley competitive strategy:

• The competitive strategy of Singing Valley will be to repair the damages made in their business due to lack of information system...

c.

Explanation of Solution

Statement of the problem:

• A problem is the perceived difference between what is done and what has to be done.
• The statement is that Singing Valley has depended on automated emailing system without any proper knowledge...

d.

Explanation of Solution

General document:

• Documentation of a customer dining in a hotel which includes the entry of customer, welcoming them and taking orders and suggesting them the best dish in the hotel, p...

e.

Explanation of Solution

Innovative idea for Singing Valley:

Idea 1:

Description: The primary act is to reconstruct the customer database. The company must solve their current customer problem. Definitely the company has to apologize to its customer by sending a mail or letter. The company could also provide some compliments like free stay or free one time visit for the next season or the company can provide high discounts to such customers to retain them.

Process diagram:

Information system requirement: The information needed for the process is simple. The company has to collect the details about the visit of the customers who have complained and have to mail them in person...

f.

Explanation of Solution

Comparing the advantages and disadvantages of innovative ideas:

Idea 1	Idea 2
Advantages
The customer complains can be addressed.	The customers who haven’t complained can be made aware about the problem.
The customers complained can be eased and can be retained.	They can also be retained without making them dissatisfied.
The good will of the company can be rebuilt.	The good will is retained...