MEMO

Date: February 23, 2022

To: Sky

From: Arjun Jaganath Shetty

Subject: Business Analysis, Strategy, Ethics, and Carrier

Thanks for allowing me the opportunity to analyze. I have evaluated the business module, and
the following is the evaluation summary.

After One Year

Best Case Demand = [15+(15*12.5%)] *8 + [(4*30)*125%]

= 17*8 + 150 Time = 25740 Minutes
= 286 Skateboards
Worst Case Demand = [15*80%] *8 + [(4*30)*90%]
= 204 Skateboards Time = 9180 minutes

Present Year

Demand = [15*8 + 30*4]

= 240 Skateboards Time = 14400 Minutes

Statement Of Profitability
Best Case Worst Case Now
Sale 30 30 30
Material 5 5 5
Contribution 25 25 25
Unit 286 204 240
Profit $7150 $5100 $6000

PROS AND CONS ANALYSIS OF SKATEBOARD BUSINESS

Pros:

 Sky has no time constraints when working on her skateboard company. She can
handle everything on her own because she is knowledgeable about every aspect
of the firm.
 She has an advantage for the skateboard firm because she can quickly adjust the
product's price, packaging, and promotional value.
 MEMO

 Sky will diversify her portfolio and keep things fresh by working in various
industries.
 Sky has complete control over the projects she accepts because she owns her
own business.

Cons:

 If they work in the skateboarding industry, they should expect a longer sales
cycle and stay with potential customers.
 Independent contractors are typically subject to self-employment taxes.
 When selling actual products, there are costs involved.
 Because customizing a skateboard takes time, they may encounter impatient
consumers.

Strategy, Ethics, and Carrier

The customer of a retail store is limited to people who live nearby. There is a huge market for
internet buying. Businesses can use only a few strategies to attract new customers and business
partners. There is a limit to how much space they can rent for $2,000 a month, and their entire
marketing strategy may be prohibitively expensive.
As a result, Sky must choose between beginning her own business and completing a four-year
undergraduate degree. One selection precludes the possibility of the other. Her education can
be paid for with a low-interest student loan, and if she chooses to work after graduation, she
can expect to earn $25 per hour for the first three years and $40 per hour for the rest of her
career. The company expects to sell 200 units a month, 25 % of personalized skateboards.
25/100 * 200 = 50 units
A 10% profit margin should be expected if she engages in advertising.
10/100 * 200 = 20 units
Sky's overall sales may increase by 20 units if the firm advertises.

Kind Regards,
Arjun Jaganath Shetty
UCW Student
2124626