Wheelin ’ & Peelin ’ Final Report 2011

1. Wheelin’ & Peelin’ Final Report2011 Sara 201002874 Laura 201002053 Colin 201001682

2. Firm Strategy • Develop a high awareness • Obtain the majority of total sales for each bike • Basic averaged quality bikes • Own the majority of available shares • Earn and burn to increase gross margin

3. Analysis of Results • Sales of over: $21,000,000 • Profits of over: $3,200,000 • Shareholder Value: $32.00 • Earnings per share: $3.93 Vertical Analysis • The cost of goods sold increased as a percentage of sales 53.44% in 2017, 45.62% in 2016 and 55.09% in 2015. • The gross margin increased 46.56% in 2017, 54.38% in 2016 and 44.91% in 2015. • Profitability increased on marginally over the years: 14.74% in 2017, 15.52% in 2016 and 7.27% in 2015.

4. Analysis of Results Horizontal Analysis • Mountain bike sales increased 11.37% in 2017, 16.46% in 2016 and – in 2015. Road bike sales increased by 2.08% in 2017, slightly less than the 2.57% increase in 2016. • Profits have grown considerably within the past 3 years. Increasing in 2017 by 2.43%, 139.13% in 2016 and in 2015 with profits increasing by 200.23%. • Even though the cost of goods sold increase was continuous throughout the past 3 years Wheelin’ & Peelin’ still fall behind it’s two main competitors, Bad As Bikes and Buckle’s Bikes by just over $1 million.

5. SWOT Analysis

6. SWOT Analysis

7. Objectives and Recommendations • Focus on the road bike industry • Increase expenditure on road bikes • Build a higher awareness rating • Increase quality of bikes • Raise prices • Lower COGS • Higher gross margin • Higher shareholder value

8. Closing • Firm was successful • Decisions • Team • Questions and Answers