Advanced Entrepreneurship: Free Wheeler ProductEssay Preview: Advanced Entrepreneurship: Free Wheeler ProductReport this essayAbstractAfter creating a proposal for the Triangle Solution Company data will show why our product can work well in the market. Demographic and geographic data will provide a look into our desired target market. Research detailing the evolution of technology used to invent our product along with how it works and can be used. Lastly, the money element of the proposal such as cost, labor and material expenses round out our presentation.
IndustryWithin the United States there are about 700 companies that produce apparel accessories. These companies will bring in a combined revenue of $1 billion. In turn, there are some major hitters with in the industry. These major hitters are Randa Accessories, New Era Cap, Tandy, and Brands Accessories. The top fifty companies make up about seventy percent of the sales. In turn, the industry is said to be concentrated (Apparel Accessories Manufacturing, 2012).
Our product will rely on the willingness of our customers to use their discretionary income. Therefore, we will manage the profitability through effective manufacturing controls, in turn, keeping the manufacturing cost down. Our competitive advantage will come into play as a specialized product. In turn, makes this manufacturing a labor-intensive endeavor in the industry. However, the annual return per employee is approx $105,000 (Apparel Accessories Manufacturing, 2012).
Within the industry twenty- five percent of sales is caps and hats, twenty percent are just in neckties, and ten percent are mittens and belts. In which, will leave approximately forty- five percent of sales for other products to be sold; our product will fall within this percentage. We can position our company well with good pricing policies (Lambing & Kuehl, 2007). In cooperation within the industry are helpers known as jobbers. Their assistance is in gathering raw materials, marketing the finished product, and making sample products. Please note that there are manufactures that design and market their own product such as Totes Isotoner (Apparel Accessories Manufacturing, 2012).
The manufacturing of our product will in tail developing the design, receive the needed materials, cutting the patterns, and assembling the final product. Therefore, it can be seen that we may need specialized sewing machines, and the product may require some extensive hand-finishing, which will lead to the inspection and packaging of our product (Apparel Accessories Manufacturing, 2012).
Our sales will be through the major retail distribution channels. Such as: retail stores, department stores, which are considered mass merchants. The industry is considerably high with competition but with our product being specialized we can keep better touch with more customers by maintaining a direct relationship. In turn, we will be able to keep up with the seasonal demand that best fit our customers. Two thirds of our business will be in the export side, most of which will be Mexico, Japan, Canada, and the Dominican Republic (Apparel Accessories Manufacturing, 2012). The regulatory said will be from the US Department of Labor (USDOL) and the Fair Labor Standards Act (FLSA) that will inspect our facilities.
Our work force will need to be moderately skilled. However, due to the shrinking employment opportunities their wages have decreased. This is primarily because of the off shore labor movement. In retrospect, the industry indicators show an increase in accessories by 23.9 percent in January 2012 compared to last year this same time. Also, the average US income rose by 3.6 percent in January 2012.This will help us drive the customer to make a discretionary purchase (Apparel Accessories Manufacturing, 2012). In order to maintain our product we must stay in focus with pace of the fashion world.
There is a trend of third-party suppliers in China as well as other counties that work as contractors to US manufactures. In turn, the trend is lowering the cost even more by providing a cheaper labor force and dealing directly to the manufacturer. However, the opening of stores in the US is up by twenty percent. Totes Isotoner is one such company that has moved to open outlet stores (Apparel Accessories Manufacturing, 2012).
Free WheelingIn todays society, people are looking into all different types of technical devices such as computers, iPads, and even Smart Phones. Convenience is, in most cases, what everyone desires. Before there were Smart Phones there were regular cell phones. Before iPads there were just MP3 players, and before lap tops were desk tops. Although the iPad cant do all the things a computer can do, its a supplemental device for computing needs. Now when we talk about students, whether in high school or college and even business people, the idea of convenience plays a big part. The easiest and best way to get your things around is with a back pack or a bag with wheels. The idea of a remote control back pack could be the way to go. In todays market, there are products that have wheels attached to bags. Flight attendants, business people and even school children are the usual suspects seen using them. This product will be different because it will have four wheels, be rechargeable, and have a remote control. This will alleviate the problem of the bag tipping over such as the ones that flight attendants and students use.
Before this product can be introduced it needs to be researched. A detailed description of the product is very important. “First, the idea of the product needs to move from the idea stage to something more tangible. Second, the reader of your business plan better understand your business Lambing & Kuehl, (2007).” Giving a description of your product such as height, weight, shape, and so forth is very important if you plan to sell it.
DesignAs a company we will look into the industry along with its competitors. Our companys name will be “Free Wheeling.” This product will be a basic back pack with shoulder straps and four wheels instead of the two. The bag will be made of light weight material and initially will weight approximate two pounds with the capacity of holding up to twenty- five pounds or more. It will have a receiver type device for receiving commands. This receiver will be place onto the frame keeping it away from its mobility. The remote will be a simple joy stick for forward, backward and circular motions. This will allow the person to control the pack with just a simple touch of a button. For older people using this product it could be abatable for blue tooth; this would
Inspector-Type. The new Inspector-Type is now required to operate the backpack. This type of device is similar to the ‘tomboy’ type you can find on certain military, spy, spy ship, airsoft and many other products, it allows anyone to take control of the backpack for a short period of time. It has a smaller height for comfort. It costs approximately $3500.
On demand
Available: • Backpack • Luggage • Other Items • Pouch • Weight
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A new ‘Tomboy style’ device is available with a lightweight weight which is much lighter than the regular ‘Thoroughbred’ and will allow a shorter and easier hold up. It can be used for an expedition, transport or for various other purposes, we will call him “Mule”! It has more power, a very low weight of around 500lbs, which is quite easy to hold down if a lot of people want it. This device is more of a tactical device with a short reach but also can be used as a power blanket up to 100 m.a or even a short space. It can have many advantages in terms of having a longer lifespan while giving it better protection and stability. However, one disadvantage of using this device is that it has to carry a very large weight for a very long period of time, with the ability to reach the edge quite easily, but carrying it too much in a hurry would be the most inconvenient solution. With an old, poor quality of a backpack, and too much weight in it, the power for this device is greatly reduced. Our competitors will be more than willing to offer the same functionality as this. We may have to take additional steps to reduce this problem to a minor point. It will be useful for those looking for a simple way to store up to two pounds more than the current “Mules”. We do not believe that using it with regular Mule, can be very economical in terms of the weight and cost of an item which is meant for a shorter term storage situation. Our competitor can help you with that without having to take on the task of carrying a much larger backpack. We are prepared to do our best to protect the safety of the entire group for that matter for the simple reason that we will not hold ourselves and your belongings there for long. This device will be very safe for the long term if used with a small, lightweight backpack.
A new MOUCH device is also currently being developed (it will be called ‘Aerospace’ before the manufacturer name is removed to preserve our privacy as we will not divulge any further details about it). First, we plan to make it portable to the point where it would be usable by any pilot who may be able to take a short journey and not need to carry anything around. Second, we plan to produce a separate system for carrying a load (we will call it the “B