Stix Furniture

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STIX Furniture STIX FURNITURE

description

Stix Furniture This is prepared simply for practicing presentation-skills and understanding “slideshare”’s online platform. All content is simply for the learning purpose. We don’t claim accuracy or complete information. All information is presented just for overview. Any inadvertent use of company name, images are unintentional. & if brought to notice, we will remove them.

Transcript of Stix Furniture

Page 1: Stix Furniture

STIX Furniture

STIX FURNITURE

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INCEPTION

Stix began as Feasibility Study in Business 257.

Wanted to Develop Innovative Furniture Company

Dave Bissinger

Honors Business Administration Degree

Full Time position with Cintas

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HOCKEY STICK MUSKOKA CHAIR

Twist on Traditional Operations began in 2003 Targeted Hockey fans Major sales from Women Seasonal Sales During Christmas & Early summer

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SALES

• 130 in 2004

• 210 in 2005

• In 2006 it was double of 2005

PROMOTION

• Retail Store & Online Sales

• C.O.D

• 3 week delivery time

• Charity - Name Plates

• Post Card Advt

FINANCING

• Believed CIBC.

• Neither Partner wanted more investors.

• Hiring part-time laborer

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COMPETITION

COMPETITIO

NDIRECT

INDIRECT

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DIRECT COMPETITION

Bear Chair•Formed in 1987•15,000 sq. ft•Exported to all over the World

Sports Furniture

•Formed in 1996•Complicated Design•Chairs for the fans of sports

Hockey Stick Stuff

•Variety of Furniture•Website was poorly designed

Hockey Stix •Each product was made to order

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COMPETITION

INDIRECT COMPETITION Known as SUBSTITUTE competition Arts & Craftsmen Hobbyists & Retirees Sold products at craft shows

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INTERNAL OPERATIONS

Manufacturing Process Fixed assets Selling Expenses

Direct InDirect

Overheads

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GROWTH OPPORTUNITIES

MUSKOKA CHAIR EXPANSION

U.S. EXPANSION

BISSENGER’S CONCERNS

NEW PRODUCTS

PICTURE FRAMES

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MUSKOKA CHAIR EXPANSION Expanding Stix’s distribution network of chair to

Ontario. Contacted the Muskoka store.

U.S. EXPANSION Kevin hilson, a proposal. He agreed to sell the chairs in Boston, and surrounding

areas. Secured an order of 20 chairs. Estimated to sell 100 chairs annually at NHL.

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BISSENGER’S CONCERNS Bissinger argument regarding fall in wholesale

price. Fluctuating exchange rates might also affect the

sales. Supply was of great concern. Supplier - minimum order of 75 sticks @ $4 per

stick.

NEW PRODUCTS New products to piggy back Gossip Chair

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PICTURE FRAMES Hockey Stick Picture Frame Costs

Direct Cost Absorption Cost Full Cost of the Picture Frame

Future Potential Project 30% of the Hockey teams 75% would buy Keepsake

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DECISION

On one hand, Clarke wanted to capitalize the trend and increase salesOn the other hand, Bissenger thought of introducing more products

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In Canadian Dollars

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SUMMARY

Inception

Dave Bissinger

Peter Clarke

Competition

Direct

InDirect

Internal Operations

Manufacturing &Costs

Selling Expenses

Growth Opportunities

Expansion &

Concerns

New Products

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