Title: Explore the Unexplored with Brethorn Bikes
1Explore the Unexplored with Brethorn Bikes
BRETHORN
BIKES
2AGENDA
Companys Objectives Financial
Analysis Marketing Analysis Operations
Analysis Firms Performance Future
Recommendations
3Companys Objectives
Low Price, High Volume High Quality, Low
Price Intense Marketing Campaign Inventory
Control
4Financial Analysis
Creating a Profit each year
Effective decline in cost of goods
sold Stabilizing Advertising Expenses
5Financial Analysis
- Companys Financial Ratios
- Current ratio 2008 - 18.37
- 2009 16.91
- Inventory Turnover Ratio
- Increased by over 500 since 2007
- Debt Ratio
- Hovered around 0.21 for all three years
- Fluctuating Earnings Per Share
- 0.82 to 1.02
6Marketing Analysis
- Low Price of Bikes
- 562 as to Industry average of 572
- Quality Ratings
- Brethorn having a rating of .74
- Total Product Awareness and PR Levels
- Product Awareness Industry average of 0.22 and
Brethorn Bikes having a rating of 0.25 - PR ratings for Brethorn .25
7Marketing Analysis
Distribution Channel Support
8Operations Analysis
- Smallest Producer in the Industry
- SCUs well below Industry Average
-
- Decrease in Inventory since 2007
- Undesirable Idle over the past three years
- Firms Idle Time peaked at 25 compared to
averages of 10 and 11
- Low Wastage
- 5 below the Industry Average in 2009
- While low, still not able to compete with direct
competitors
9Firms Performance
Highest Share Holder Value in Brethorns History
in 2009 at 10.69 Lack of Brethorns products
and impact on overall performance Success with
Brethorns Income since 2007 Failure to take
risks within the company, management leans to the
conservative side
10Recommendations
11This presentation has been brought to by the
Management Team of Brethorn Bikes.
Vice President of Finance Laura Proctor Vice
President of Marketing Jennifer
Vanderlinden Vice President of Operations Robbie
Walsh