ENT 210: The Management Process of Entrepreneurs
Week 1, Chapter 1
Homework (2 pages)
20 Points
- Peak Bikes, a national bicycle manufacturing company that specializes in producing off-road bicycles (mountain bikes), has hired you as an outside consultant. Peak Bikes currently has 170 both full-time and part-time employees. The firm’s management is organized as follows:
- Frontline managers: Oversee bike production and production staff. This is the part of the company that actually manufacturers the bicycles.
- Middle-level managers: Manage frontline managers, track performance versus company’s goals and strategy, and report to top level managers
- Top-level managers: Set overall strategy and oversee middle-level managers
Peak Bikes sells its bicycles in various specialized brick-and-mortar stores throughout the United States. These retail stores must complete a vendor application and then be approved by Middle and Top-level managers in order to sell Peak Bikes. One-hundred percent of Peak Bikes sales are through these brick-and-mortar retail stores.
Now the company wants to sell its bikes on their website – moving the company into a new e-commerce platform. This has implications throughout the company, including Production; Vendor relations; Customer Service; Operations, etc. With this decision, management duties and responsibilities will also change. In the past, Peak Bikes has struggled with keeping frontline and middle level managers motivated and engaged. From a recent management employee survey, many feel that they have no input in the direction (strategy) for the company.
Your task (as the consultant) is to educate the entire management team (all levels) about organizational planning with regard to the new e-commerce platform. What would you recommend that the company expect (in general terms and using the materials from this week’s chapter) from each level of management in terms of their responsibilities and level in involvement in the overall organization planning efforts with regard to e-commerce?
- Competitive advantage exists when a company’s customers perceives it to be better than the competition in those areas valued by them. One firm’s competitive advantage is another firm’s benchmark – something that you strive for but in most instances, will not attain.
It is no secret that amazon.com has changed the retail landscape over the past 10 years. Amazon has changed how companies, both large and small, think about retail.
Wal-Mart is one of those companies that has changed how it does business. Once a traditional brick-and-mortar store that sold to the consumer market, it is now committing more resources to its online platform. However, Wal-Mart is still a retail giant.
I want you to look at Wal-Mart (https://www.walmart.com/) and then answer the following questions:
- In your opinion, what is Wal-Mart’s competitive advantage (HINT: It is not online sales)?
- Do you think that this competitive advantage is sustainable? Why?
- How can Wal-Mart develop its online platform to expand and enhance its competitive advantage?
Please submit your assignment via Blackboard by Monday, January 20. Please let me know if you have any questions about this assignment.
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