11 - Problem Identification and Explanation Smedes Import...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Problem Identification and Explanation Smede’s Import and Export Emporium is facing a problem that is the high travel costs associated with the sales persons going out to provide services to other store customers. Since the sales person only gets to see every store customer about twice a year, and the email communication is not enough for the customers to be constantly aware of the stock information, the company has to have some solution to reduce the selling cost, keep customers informed about Smede’s inventory, and enable customers to make order without waiting for the sales person to come onsite. Meanwhile, there is also an opportunity that because of the high travel costs, some competitors are planning to shut down their antique supply shops in a couple of years. Alternatives Solutions Solution 1: frequent visit Sales person can visit the customers more frequently than before. In this way, company would be able to know what the customers need immediately. But it will increase the cost on traveling a lot. Solution 2: net meeting The company can use software, like MSN, to have conversations with customers about inventories and make orders in real time on the Internet. By using this real-time messaging, sales person does not have to travel to visit the customer and talk about business. They can talk all the business on the internet. It reduces the cost
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
for long distance call for both. Customers can ask the inventory status and any other information. The problem of this solution is that it is hard to control who the sale person is chatting with, maybe personal friends or family, which will wasting the company’s money on paying them to work. When a sale person chats with several customers at the same time, it is more easily for him to make mistakes on who is ordering what. Solution 3: creating a website Create a Web Site for the company, and then develop an online ordering system for store customers. Keep updating with the company’s internal inventory database, so that customers will know what the company has in stock correctively and instantly. Customers can send the purchase order online by just fill several forms, and the order
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 04/14/2011 for the course BUSSINESS 16.391 taught by Professor Micial during the Spring '11 term at Brandon.

Page1 / 6

11 - Problem Identification and Explanation Smedes Import...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online