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 Company HotNess! Presentation Co-Managers: Erica Y. Contreras Melo J. Encinas Phoebe Zhu.

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Presentation on theme: " Company HotNess! Presentation Co-Managers: Erica Y. Contreras Melo J. Encinas Phoebe Zhu."— Presentation transcript:

1  Company HotNess! Presentation Co-Managers: Erica Y. Contreras Melo J. Encinas Phoebe Zhu

2 Trends in Company HotNess! Annual Total Revenues

3 Trends in Company HotNess! Annual Earnings Per Share

4 Trends in Company HotNess! Annual Return On Equity Investment

5 Trends in Company HotNess! Year-End Stock Price

6 Trends in Company HotNess! Annual Credit Rating

7 Trends in Company HotNess! Annual Image Rating

8 Company HotNess! Strategic Vision Statement  HotNess! Athletic Shoe Company is striving everyday to be the customers' choice of athletic footwear in the market. Within the next 5 years we plan on being the customers' top choice by having them recognize our label and our high quality products. By increasing our employee incentives to reduce our overall reject rate, we will increase the overall quality and SQ rating of our products making them a high quality product our customers will find hard to resist. We are also committed to being socially responsible by using recycled packaging as well adapting energy efficiency initiatives in our plants. With all this and our competitive prices, HotNess! Athletic Shoe Company will surely become the next favorite shoe to buy.

9 Company HotNess! Performance Targets for Year 19  Earnings Per Share:  Return On Equity:  Stock Price:  Credit Rating:  Image Rating:

10 Company HotNess! Performance Targets for Year 20  Earnings Per Share:  Return On Equity:  Stock Price:  Credit Rating:  Image Rating:

11 Company HotNess! Competitive Strategy for the Internet Market

12 Overall Beginning Goals: Higher model availability S/Q rating = at least 4, preferably 5 Goal = market share of at least 8.3% Delivery Time = 2-3 weeks Advertising = above industry average Rebate offer = approx. $3 Retailer support = above industry average Celebrity appeal = Oprah Letterman & Kobe Company Strategy: Wholesale Market

13 Y11: (highest market share) 200 models, S/Q rating = 5, 7.6% market share, $2 rebate offer (lowest), 2 week delivery time, industry average advertising ($7,300), sold 1,222 MIL pairs Y15: (lowest market share) 213 models, S/Q rating = 4, 6.7% market share, $4 rebate offer (higher than industry average), 3 weeks delivery time, lower advertising than industry average, sold 1,303 MIL pairs Y18: (highest market share since improving) 60 models, S/Q rating = 6, 7.7% market share, $3 rebate offer (lower than industry ave), 2 week delivery time, +14.5% higher than industry ave advertising, sold 1, 564 MIL pairs Wholesale Market: North America

14 Wholesale Market: Europe Africa Y11: (highest market share) 200 models, S/Q rating = 5, 8.3% market share, $2 rebate offer (lowest), 2 week delivery time, +1.4% higher than industry average advertising, sold 1,335 MIL pairs Y14: (lowest market share) 200 models, S/Q rating = 4, 6.0% market share, $4 rebate offer (higher than industry average), 2 weeks delivery time, + 2.5% higher than industry average advertising, sold 1,097 MIL pairs Y17: (highest market share since improving) 248 models, S/Q rating = 5, 7.3% market share, $4 rebate offer (lhigher than industry ave), 2 week delivery time, +39.9% higher than industry ave advertising, sold 1, 468 MIL pairs

15 Y11: (early market share) 200 models, S/Q rating = 5, 8.6% market share, $2 rebate offer (lowest), 3 week delivery time, -11.6% higher than industry average advertising, sold 960 MIL pairs Y15: (lowest market share) 200 models, S/Q rating = 5, 7.5% market share, $3 rebate offer (higher than industry average), 3 weeks delivery time, -22.3% lower than industry average advertising, sold 1917 MIL pairs Y15: (highest market share) 171 models, S/Q rating = 4, 9.2% market share, $4 rebate offer (higher than industry ave), 3 week delivery time, +37.6% higher than industry ave advertising, sold 1, 462 MIL pairs Wholesale Market: Asia Pacific

16 Y11: (early market share) 200 models, S/Q rating = 5, 8.3% market share, $2 rebate offer (lowest), 3 week delivery time, -9.7% higher than industry average advertising, sold 923 MIL pairs Y12: (lowest market share) 213 models, S/Q rating = 5, 7.3% market share, $3 rebate offer (lower than industry average), 3 weeks delivery time, -19.1% lower industry average advertising, sold 888 MIL pairs Y18: (highest market share) 58 models, S/Q rating = 6, 11.0% market share, $4 rebate offer (higher than industry ave), 2 week delivery time, +68.4% higher than industry ave advertising, sold 1, 789 MIL pairs Wholesale Market: Latin America

17 Overall Evolving Goals: Higher model availability => Smallest number of models S/Q rating = at least 4, preferably 5 => 5 Goal = market share of at least 8.3% => achieved AP (9.2%) & LA (11.0%) Delivery Time = 2-3 weeks => 2 except in EA (3) Advertising = above industry average => GREAT Rebate offer = approx. $3 => $4 except in NA ($3) Retailer support = above industry average Celebrity appeal = Oprah Letterman & Kobe Company Strategy: Wholesale Market

18 Competitive Strategy: Private-Label Market Overall:

19 Competitive Strategy: Production Overall:

20 Competitive Strategy: Finance Overall:

21 Competitive Strategy: Finance Dividends:


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