Hardly 14 weeks prior to the year end, he's evaluating the time of his cash flows as well as the impact that diverse promotion options will have on his capability to place the first order for Swatch stock and deal with this catastrophe.
Jacob Zimmermann has seen his revenues and gains falling for the last three years after MegaRols entered his local market and has reduced sales of his Rolex watch offerings in his Midwestern retail store. Swatch has chosen Bonne Chance to offer their line, which might be a chance to restore revenue during the approaching Holiday season and into 2011. She would not extend more credit, although the bank loan officer has covered the recent overdraft. Behind on some older invoices, cash is extremely tight, Zimmermann has thirty days to think of the first payment for stocking the Swatch stock. He has several choices to improve sales and liquidate stock to cover his approaching purchases of non-Rolex inventory items. Each has an impact on his income and needs to be carefully evaluated against the reaction from MegaRols and his long time customers Rolex.
PUBLICATION DATE: August 03, 2012 PRODUCT #: 813049-PDF-ENG
This is just an excerpt. This case is about STRATEGY & EXECUTION