Case Study: O-Fold: A Good Business Opportunity
Reline on the giving research data and information, the business model Alex should pursue is Use a Crawl-Walk-Run Strategy. The advantage to choosing this business model is lowest risk. There is no need for a huge star-up cost, and it fits Alex’s current financial situation. Second advantage of Crawl-Walk-Run strategy is, it gives Alex’s time to do market research for his invention. One of the reason many small business was failure is that they did not do enough research for their market and customers’ interest before went into large production. The good thing about the step Crawl is that it can sell door to door. Although it probably takes amount of time sell customer by customer, but on the other hand, it helps Alex to gather information about what makes people like the O-Fold and develop better selling strategy to expand its revenue in the future. By apply SWOT analysis to O-Fold’s business model which is Crawl-Walk-Run in this case, it would be easier to emphasize how O-Fold seize market opportunities and overcome external threats to its future well-being. So, what is O-Fold’s strength? O-Fold has a very compatible price strategy. The price for all O-Fold sized the same, at $25.00 retail per unit. On the other hand, O-Fold’s rival Eagle Greek Pack-It Folders are prices at $24.00, $27.50, and $30.00 for the 15-, 18-, and 20-inch models. In consumers’ point of view, if O-Fold has same quality or better than EG Pack-It Folder, consumers are more likely to buy O-Fold because it is better quality and less expensive. Other strength of O-Fold is pursuing e-business. The fact that O-Fold should do and should pursuing online business is that internet is the fastest way to growth one business with less expensive and in small amount of time if its product is attractive. By doing business online it also fits Alex’s current financial situation. It is much easier for Alex to manage. And what...
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