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Name Xindi Zhao
NetID xzha805
Group Number: 077
Website Link:
Tutorial Details
Tutor: Day: Time:
Kayur Ramson Sunday 11PM
Time Spent on
25 hours Word Count: 1633


Nowadays, with the increasing rate of traffic accident, cycling safety has risen as the main
problem of the globe including New Zealand. Smart flash reminder is a high-tech traffic
flashing which regulates traffic system as well as improving degree of safety. After
comparing different options, Smart flash reminder is chosen as the best solution for the
problem. In the section, the company sought and found the most relavent and suitable vision,
strategy, value chain activity, system, processes, functionalities, technologies and etc. for
future development.

3.1 Vision
To reduce injuries, disabilities and even deaths of humans caused by cycling crash and to
help road users make cycling a safe and reliable transportation option. In addition, this adds
creativity of people’s daily life.

3.2 Industry Anal ysis: Traffic Safety and Security Aids Industry.
Industry: Traffic Safety and Security Aids Industry. This industry provides the public with
traffic supportive tools such as the safety reminders, the traffic lights, the warning signs, and
so on.

Force: High/Low Justification:
Buyer power: low There are a few options for the buyers to choose
from. Therefore, the Buyer Power is low. Lots of
companies who produce the traditional tools for
helping to reduce the cyclists crash. Such as bike
lights, helmet, cycling reflctive vest, like NATHAN.
But none of the result is showed from the


Supplier power: low The raw materials for Smart flash reminder are
basically organic glass. From the research, it
appears that there are many perspex sheet
suppliers such as PSP Limited, Acrylic Ltd etc. As
for the bulb and transducer, they are supplied by
the producers like Philips, Sony etc. We can
purchase those from various suppliers.
Threat of new entrants: High Even though, the transduser is a high-tech
product, it is still easy for new competitors to enter
this market. The cost of the inputs, like the glass
and bulb is not very high. According to marketing
research, the price for glass May 2014 is around
US $2.9-3.5 / Kilogram. Also, LED lights is
already widely exist in the market.
Threat of substitutes: Low Although there are lots of accessories existed in
the market, but our new production is unique,
creative and easy, so there are few alternatives.
Through the research, it`s hard to find a substitute
having the same or similar function. Since the
company is the first one in the market with a
competitive advantag, this will increase its market
share significantly.
Rivalry among existing
Low The rivalry among existing competitors is
relatively low. It is rare to see price-compititions in
this industry.
Overall attractiveness of the industry: The overall attractiveness of this industry is relatively
high. Since this indutry is profitable and sustainable, it has a high protention.



3.3 Customers and Their Needs
There is an increasing need in society to move towards a healthier lifestyle. More and more
customers are being environmental friendly, so that they give up driving and use a bicycle.
On the other hand, there is a tendency for people to focus simply and natural daily life as
ride on a bicycle. It might be perfectly not only staying in healthy but also keep safe. In
particular there is greater concern for those road user are not able to easily identify road risk.

3.4 The Product and Service
The product we are producing is an application to help those who worry about the cyclist
injuries which may causes crashes on public road are often hard to look out and reaction. By
providing a Smart Flash Reminder are able to identify these dangerous easily. By using the
reminder at the back of the bike can recognize the voice according to the distance between
the car, bus or whatever dangerous vehicles to start flashing to avoid them approaching the

3.5 Suppliers and Partners
In order to create the application we will need to seek out cooperative partner for working to
a supplier whom custom made organic glass and bulb. Also need to outsource the work to a
supplier high-tech application, such as sensor. Our partnerships with these suppliers and a
bike producer are the key to the success of the business as they are our direct link to our
customers and therefore the success of the business. Since we are focusing on creating
value through marketing and selling our product additional partenerships may need to be
formed with marketing agengies who could help with the advertising of our product which will
be done through the use of social media. Financial agencies may need to be used to help
with the management of costs the business willl face, financial support and forecasting the
success of the business.


3.6 Strategy: Differentiation
Our primary focus is for those road user, the Flash Reminder will be of interest to a wide
variety of consumers so from a competitive scope our company will be supplying to a broad
market. Due to the already exisiting competitive market we focus on creating an intellegence
reminder which is high cost in the Cost Strategy.
From Porter’s Generic Strategies, we will be implementing Differentiation.

3.7 Value Chain Acti vity: Market and sell the product or service
We consider this the most significant value chain activity with our differentiation strategy in
order to get ahead of our competition. Cause the most important thing is Smart Flash
Reminder being special which is an indispensable factor of the traffic system. If it breaks
down, the death of humans will happen. What`s more, traffic congestion, the bad influence of
economic loss and emotional hurts will occur.


3.8 Business Processes
3.8.1. PRODUCT WARNNI NG PROCESS –Our value chain is product development (R&D). We
check the warning sensor of our products by several steps, and a highly standard check will
be set in warning sensor process. It is very serious to make sure that we are unable to
promise the flexibility of the transducer. Because if the quality of products is not guaranteed,
the potential trouble of safety will happen.


3.8.2. DESI GN DEVELOPMENT PROCESS- The design development process is important for our
business process. It is able to identify the strengths and weaknesses of our current
competitors who we will use to compete effectively and efficiently within the market to reach
our potential consumers informing them of the product. If we want to gain more competitive
advantage, we will need to develop new products and to satisfy our customers.


3.9 Functional iti es
 Checking the response rate and parts.
 Test system’s quality.
 Introduce to customers then we will be entering into market.
 Determine whether customers benefit from it.

3.10 Systems

3.10. 1. PRODUCT WARNNING SYSTEM - to make sure the product warning is good enough
and satisifies the customers. We are going to buy the best response rate and parts in the
market and set a high standard of warning sensor process which is supported by this system.
If all the upper process is done and goes well, we need to check ‘whether the whole system
runs’ it is a final check of the process which we need to focus on.

3.10. 2. BRAND DESI GN DEVELOPMENT SYSTEM - to keep customers satisfied we need to know
how to emphasize the benefits of using our products, search the market and find out what is
supported by this system. In this system this will benefit the business as it will allow us to
ensure that the product we develop is recognised and meet customer’s expectations which
is the most important functionality. As customer’s satisfaction is the most thing we consider
before making the product, we will take on board feedback to improve for our product.

3.10. 3. TECNOLOGY SUPPORT DEVELOPMENT SYSTEM – to update our technology support,
make new products to gain customers expectation and customers need are the most
important for our company. By ensuring we meet customer profile is based on our target.


3.11. Summary Table: Value Chai n to Systems

Processes Functionalities Specific Information
Broad Information System(s)

Market and
sell the
product or
1. Product
1. Checking the response rate and

2. Test the system
1. Transaction support

2. Technology support
1. Decision support

2. Decision support
2. Design
1. Search from the market

2. Determine whether customer benefit
from it
1. Product proposal

2. Brand design
1. Customer relationship
management system

2. Customer relationship
management system


Recently, cycling safety has risen as a main New Zealand and global-wide problem.
According to road death statistics, a cyclist which is one of the highest death rate throughout
New Zealand. This is due to the incertitude system of bicycle, which does not have the smart
flash reminder to warning.
IT creates value and delivers it to our life. Without the aid of information technology and
information system, creation, innovation and advancements would not occur; also the
consumer would not get the best efficiency and experience. By using the flash reminder it
will be safer for both bicycles and other cyclists and other drivers.


1. NZ Transport Agency, (2009). Road death statistics. Retrieved from

2. Nathan Brand. (2014). Reflective Gear. Retrieved from

3. PSP Limited. (2014). Plexiglas TruLED - LED Transmitting. Retrieved from

4. Acrylic Ltd. (2014). FABRICATORS and Suppliers of Sheet Plastic Products.
Retrieved from

5. Global source. (2014). LED Light manufacturers & LED Light suppliers. Retrieved

6. K-Tech Inc.(2014). Crompton 252-X, 256-X Advantage Transducers Single and
Three phase Prices.Restrived from

7. (2014). Colored sheets of acrylic glass promotion. Restrived from