Threat Sheet: Case Study

Hövding airbag helmet is currently retailing at €299 (S$450). However, the shipping will only be done to Europe and Japan but they do have plans to penetrate the other markets when there are sufficient demand (Nordic, 2015). Free delivery and return is guaranteed. Likewise, they promise to deliver it within 1-2 working days. For users from other countries who would like to purchase can alternatively purchase it from Amazon. The product will come with clear instructions as to ensure that product works as intended especially for inexperienced users. Therefore, maintaining close customers relationships is important so that doubts can be handled more easily. That having said, the company experience an increase in profit of 9% from 2012-2013 (Hövding Sverige.., 2012).

6.2 Expenses
Hövding expenses includes salaries for the 21 employees, cost of production, furniture and fixtures, office, transportation, selling expenses, expenses for monitoring and control operations, other operating expenses. They incurred a total of $14 million on sales, general and administrative and $12 million on other operating expenses

Customers will then be able to ship anywhere and anytime. For instance, AliExpress is one of the company that made use of fulfillment and their logistics partner will handle all the warehousing, shipping. Pre-shipment inspection service is available for buyers to choose whether or not they want their items to be checked. Once the buyer’s items have reached their country’s warehouse, the inspection officer will be able to verify whether or not damaged has been made. With this service, customers do not have to worry about receiving damaged goods (New fulfillment…, 2014). Customers can choose from international carriers such as FedEx, UPS