You are playing the role of the divisional manager of the new e-bike division of Fox Factory Holding Corporation. The divisional manager is preparing to request funding to introduce the product and begin sales. Three options have been identified (note that these are fictitious assumptions): Produce the new e-bike internally, Outsource manufacturing to another manufacturer, and License the design to an existing company for royalties on future sales.
You are playing the role of the divisional manager of the new e-bike division of Fox Factory Holding Corporation. The divisional manager is preparing to request funding to introduce the product and begin sales. Three options have been identified (note that these are fictitious assumptions):
Produce the new e-bike internally,
Outsource manufacturing to another manufacturer, and
License the design to an existing company for royalties on future sales.
In your presentation,
Prepare a convincing proposal for each of the three options for producing Fox Factory’s e-bikes.
List the pros and cons of each option, along with an estimate of the capital required.
Capital consists of the costs of new equipment, manufacturing capacity, automation, and other large investments needed for each option.
Note: Please use the most recent Quarterly Results (Form 10-Q) published on the Fox Factory Investor Overview website. Please use the earnings announcement, for example: “Fox Factory Holding Corp. Announces Third Quarter 20XX Financial Results” for the relevant required information.
Requirements: 5–6 double-spaced slides
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