Case Study 2,3

Name: Said Abdulkadir Gaal
Class:BIT26A
Chapter 2
Case study 2
Q1: What are Dirt Bikes’s best- and worst-performing products?
I created the data for this figure above by reading the Sales by Model table. After examining
this graph, we may infer that Enduro 550 and Moto 450 are the best and worst performing
.items, respectively, in terms of sales or growth rates
?Q2: What is the proportion of domestic to international sales
:we could get the proportion of domestic to international sales
.0.918:0.082 .2012 ,0.909:0.091 .2011 ,0.901:0.099 .2010 ,0.914:0.086 .2009 ,0.916:0.084 .2008
?Q3: Have international sales grown relative to domestic sales
Yes. When domestic sales grow up, the international sales grow up as well. The tendency
.of domestic and international is same
?Q4: Are sales (revenues) growing steadily, and, if so, at what rate
Revenue 2012 2011 2010
Net sales 60,144 64,063 61,529
Cost of goods sold 45,835 43,155 41,072
Gross profit/(loss) 14,309 20,908 20,457
NO, sales grow from 2010 to 2011. But it drops from 2011 to 2012. The net sales in 2012
is least. Moreover, the company expensed more on products in 2012. That also makes
.their gross profits decrease
:Summery
The company's gross margin also saw a little decline, from 33.25% in 2012 to 32.64% in 2013, and it kept
eroding through 2014, dropping to around 23.79%. Additionally, from 15.03% in 2013 to 11.41% in 2014,
and then even lower to 2.4% in 2014, the net margin for dirt bikes declines. The company's gross margin
.and net margin both fell between the years of 2012 and 2014, by about 9.46% and 12.63%, respectively
Chapter 3
Case study 3
?Which activities at Dirt Bikes create the most value .1

The manufacturer of dirt bikes has a number of options to generate value
Manufacturing: Increase the effectiveness of the production line by selecting the best-value materials
Marketing includes public relations, advertising, and a commitment to excellence
Sales: The company has to understand how to increase sales and revenue
Service: Providing the greatest pre-sale and after-sale services while assisting its dealers
?How does Dirt Bikes provide value to its customers .2

The business offers value to its clients by creating high-quality bespoke dirt bikes, producing them, and
maintaining them. The amount of races in which the brand performed is evidence of its high caliber. Dirt
.Bikes enjoys hearing from customers so they can enhance the caliber of their offerings
What other companies are Dirt Bikes’s major competitors? How do their products .3
compare in price to those of Dirt Bikes? What are some of the product features
?they emphasize
Honda is a major Japanese producer of various types of motorcycles, including
motocross and off-road dirt bikes. The pricing of its motocross and off-road motorcycles
bikes range from about $1,200 (for off-road bikes for children) to $9999. It is a major
competitor on price and number of models offered, although Dirt Bikes products are
being marketed and sold as American. The question is how well Honda competes with
.Dirt Bikes on performance and styling
Kawasaki is another major Japanese competitor, and this company produces offroad
and motocross bikes. Its dirt bikes begin at a price as low as $2,300 (for young
beginners) to about $8799. Kawasaki is a major competitor to Dirt Bikes on price and
number of models offered. It would become an even more serious competitor if Dirt
.Bikes does not continue to emphasize its American brand name, styling, and quality
Yamaha dirt bikes range in price from $1200 to $8590. Both companies would be
.serious competitors to Dirt Bikes on price
Husqvarna is a European dirt bike manufacturer but has not made a major impact
on the American market. It would not be a strong competitor for those who want to
.purchase an American product
?What are the competitive forces that can affect the industry .4
Failure to compete with competitors' advertising campaigns is one of the factors that could have an
impact on the dirt bike market. In order to effectively serve the customer, Dirt Bikes should maintain a
high level of knowledge in components and service. The staff has to be informed about new parts that
are released and how they will affect the motorcycles. In this manner, Dirt Bikes will be able to
determine whether adding these new parts will improve their products or whether their current product
.line will be unaffected
?What competitive strategy should Dirt Bikes pursue .5
Mainly using advertising, Dirt Bikes should adopt a competitive strategy. Advertising has the power to
create or break a corporation. Advertising for dirt bikes should appear in publications and on websites
devoted to the scene as well as at events where riders compete. Dirt Motorcycles ought to display their
items in a way that demonstrates how they create various dirt bikes for a variety of climates and
terrains. Hiring staff that enjoy riding dirt bikes would be incredibly beneficial to the company because
they would have a better grasp of the goods. They will be better able to help the consumers and
.establish a connection with them as a result of doing this
?What information systems best support that strategy .6

Numerous information systems are capable of supporting that tactic. The advertising management
information system, in my opinion, is the greatest. It could aid the business in promoting its goods and
advertising effectiveness. Dirt Bikes can establish their own advertising management system or engage
with an advertising agency. Dirt Bikes may educate the public about their products using this technique.
.help the customers and have a connection with them

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Name: Said Abdulkadir Gaal

Q1: What are Dirt Bikes’s best- and worst-performing products?

.of domestic and international is same

Revenue 2012 2011 2010

Net sales 60,144 64,063 61,529

Cost of goods sold 45,835 43,155 41,072

Gross profit/(loss) 14,309 20,908 20,457

?Which activities at Dirt Bikes create the most value .1

Marketing includes public relations, advertising, and a commitment to excellence

?How does Dirt Bikes provide value to its customers .2

Honda is a major Japanese producer of various types of motorcycles, including

.Dirt Bikes on performance and styling

.serious competitors to Dirt Bikes on price

.purchase an American product

?What information systems best support that strategy .6

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