Case Study 0n-Redefining the Business.-Computibility Mode Coming up for air Bree

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Case Study 0n-Redefining the Business.-Computibility Mode Coming up for air Breezy Auto Parts has beer supplying the North American automobile industry with carburetors and air filters for more than half a century. With revenues of about $100 million a year, it is a significant player in the parts industry. initially, it supplied carburetors and filters to each of the Big Three domestic manufacturers. When foreign car manufacturers entered North America to set up manufacturing operations, Breezy also developed relationships with the newcomers. It redesigned some of its products to fit the foreign models. It also introduced electronic data interchange (EDI) to support just-in-time deliveries to all of its customers. As a result, it successfully realized its original corporate vision of becoming North America's leading supplier of carburetors and air filters, a position it has occupied ever since. For the past 30 years, Breezy has counted on steady customers and steady revenues. The past two years, however, have raised significant concerns about the company's future. The price of crude oil has been soaring as have gas prices at the pump. There have been temporary dips in price, but the overall trend is unmistakable: it will be far more expensive to drive in the future. As a result, car sales have flattened and in some cases declined. This is especially true of the big gas guzzling SUVs upon which the North American industry had staked its future. But the slump is affecting pretty much all makes and models except for hybrids and the newly introduced Brainy Car. The contraction is even affecting the Asian and European car manufacturers that have located in North America. In the past, Breezy MacBook Air

Explanation / Answer

5. This initiative be financed in the following ways:

1. Financed by the existing partners of the business.

2. Raising capital from the public, customers and business originations.

3. By expanding the relationship globally with the government that has the growing car manufacturing base so as to get finances from them.

6. The business should breezy be in of expanding the market by acquiring the new customers and the market outside the country North America. The company has already had well developed market in the North America due to its efficiency. As the company using the best industry practices such as just-in-time manufacturing and just- in- time inventory so as to retain its customer. Hence, they might use same strategy to lead in the expanded market.

They revise its corporate vision as to attain new customers and market with the same pace and energy and with the ethical way of doing business. Nothing would be changed with the with the previous business but only the expansion is needed in the previous activities. They would revise by fixing the new objectives and goals to the company business.

7. The risks does the offshore venture face that the domestic company does not are as follows:

1. Diversity- Diversity is the risk to the offshore venture. The diversity in the language, geographical area, product usage, religion, culture, beliefs, values etc. would be challenging to the venture. It would increase in the conflicts. The better management would help to mitigate this risk.

2. High competitive risk in the market as the more number of players in the mrket.

3. Change in the economic conditions of the country.

4. Government oversight and regulations.

5. Culture of doing business.

6. credit risk

7. Political Risk

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