3.4.2 Bob’s Bicycle Shop Adopts Internet-enabled Bicycles & Tennis Rackets
Posted in Business Pitch3.4.2 Bob’s Bicycle Shop Adopts Internet-enabled Bicycles & Tennis Rackets
Bob started selling bicycles in Atlanta ten years ago. Five years ago, he acquired a small manufacturing shop so that he could design, build, sell, and repair custom built bicycles. Buoyed by his success, he is now diversifying into a wide range of other products (skis, sports-ware, etc.). He is partnering with retail stores and manufacturers in the southwest to expand his business. His grand vision is to become the sole supplier of sports items in the southwest with several outlets. He wants to be another Nike. The parts and components to support his business will be brought from suppliers located in the Far East and assembled in his manufacturing shop. He has been told that good CRM and supply chain management systems are crucial to his success.
Bob so far has stayed away from technology (other than using the telephone!). He keeps track of all information on a MS Word file and also uses an MS Excel spreadsheet occasionally. But his brother-in-law, Tom (BS-CS, MBA) has been lecturing him on how he could use IS/IT to significantly improve his business. Bob has attended a management seminar and is finally intrigued by information technology and how it can be used for selling, purchasing and outsourcing. His goal is to double his business by using IT in an innovative manner especially by getting into Internet enabled bicycles, tennis rackets and other sports products. He also wants to make his operations more efficient and less expensive. He has no idea where to start and has hired your group to help him out.
Discussion: Develop a strategic plan for Bob to launch the Internet enabled bicycles, tennis rackets and other sports products by answering the following questions:
• What will be the major advantages of these products and what will be the risks
• What will be applications needed to support these new products
• What type of technologies will be critical and should be exploited the most and why?
• Which dimensions will have low to medium impact on these new products and why?
• What will be the impact of geographic locations of the customers on this business strategy (e.g., business strategy will be different China versus Brazil)
• What will be the management implications and risks
• Any other considerations (please use the guidelines shown in Exhibit1 for deeper technology analysis, if needed)