99 cents only stores: IT Infrastructure on a budget

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Solutions

Bayezid Bostamy Zitu: 090319 Sourav Datta: 090334 Emamul Hassan: 090341

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Value Chain of 99 cents

Infrastructure: 232 retail stores

Potential to support over 400 stores. 200,000 square feet refrigerated storage. 500,000 square feet of dry storage, forklifts, cabling and furniture.

Employer

is well affiliated with I. S. ; Employees are given training to use IT 7/6/12 based software.

Value Chain of 99 cents

Technology

and development: Up to date software with special customization for 99 cents. Just in time theory is applied in supply chain management.

Procurement:

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Value Chain of 99 cents

Inbound

logistic: yard advantage software is used. Highjump software is used in operation stage. Including a radio frequency identification system and voice based inventory picking system. logistics: Yard advantage is used. sales: Branded

Operations:

Outbound

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Porters five force analysis.

New

market entrance: high possibility of new entrance. Easy entrance. rivalry: Huge financial back up. power: capability to supply products anytime in any amount. power: buyer of all class. and development: up to
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Competitive Supplier

Buyer

Product

Answer to the question no .2

Cost

leadership strategy: although they have many competitors with financial backup, just because of up to date information system 99 cents is having competitive advantage. they have diverse product category that ensures bigger market.
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Diversification:

Answer to the question no .3

99

cents prefer buying sophisticated software. After that they customize the software according to their own need. $5 million behind automation.

Invested

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Answer to the question no .4

99

cents management information system has become their competitive advantage. So in this sense they are pretty successful. that they have solved:

Problems

Saved lots of time. Better inventory management mechanism.

7/6/12 Can identify important product.

Answer to the question no .4

Problems

that can not be solved:

Complex installation system. Needs high training for employees. Affected delivery schedule. Decreased productivity. Lower profit margin.

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