Essay on The O-Fold Innovation

791 Words Sep 2nd, 2013 4 Pages
Synopsis of “The O-Fold Innovation for Preventing Wrinkles: A Good Business Opportunity?

This case depicts the mission and vision of Alex Richards a young respected University scholar majoring in finance and accounting. Alex recently became engaged and planned to get married after graduating, he though decided that he would not start a family until seven years, enabling him and his fiancée time to complete their academic qualifications and acquire their mission and vision – she a physician’s assistant and he a corporate executive of an established company. Alex’s intent and desire was to contribute significantly to an established company’s strategic direction he was not mainly motivated by the compensation package that would/could be
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It should be noted that luggage profits prior to 2001 increased significantly in ten years the years – profit margins saw an increase from 28.9 % in 1990 to 45.9 % in 2000. This growth in profit was attributed to the outsourcing of overseas manufacturing which it could be ascertained resulted in cheaper priced products.
Alex’s luggage research also revealed that due to the emergence of the businesswoman luggage manufactures adjusted their product’s image by ensuring that their luggage had variations that met, exceeded and catered to their clients’ expectations. As such luggage was moved from the traditional blacks to basic colors such as hot pink with polka dots and featured different shapes with different fabrics and new compartments.
Due to restrictions placed on weight of suitcases which attracted a financial penalty on overweight bags, travelers needed their luggage to be smaller as well as manageable. As such carry-ons and lightweight luggage became the choice of use for most travelers resulting in a boom in the industry and high premium rates.
Alex research into luggage also revealed that sales for 2000-2005 were categorized by – luggage, brief computer cases, travel/sports bags, handbags, flat goods and backpacks. Market potential for luggage was dominated by three (3) areas – Asia and the Middle East, Europe and North America and the Caribbean.
Alex next sought advice from one of his professors who

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