Insy 3270 Week 2 Chapter 2 Case on Case

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11 April 2016

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1. Describe the global economy forces that pushed creativity to move up the value chain.

Creativity is one of the top five wholesale suppliers to national craft chains in the United States with 500 employees and for office and warehouse locations in California and one in Hong Kong. Studies are showing that the company creativity has proven to outsource the manufacturing across Asia. Creativity is also found strong business models that are capable of dealing with the current growing globalization and economy hardships. This model helps creativity save money, downsize, and purchase crafting material directly from the Asian manufacturers. The company creativity uses a software from IBM called Cognos eight business intelligence suit. This software identifies high-value products that cannot be manufactured by low-cost overseas competitors. Cognos also determines which customers segments are most profitable.

2. What information did creativity use to boost his profits and remain solvent?

Creativity use the Cognos software and smarter software, smart forecast programs, to determine the need for more design oriented, fashion oriented products. With this software creativity set for two shift his focus to fashion-based craft products. Creativity learn that if they shift its focus to fashion-based crafts the company can make up for the business that they loss in dealing with low costs crafting material market.

Critical thinking question

1. what role does communication play in creating saving for a multi-brand company like creative?

Communication was a strong factor in building a company like creative. Communication Further the company in their futuristic goals. The
communication improvements that creativity set for their company helps safeguard against duplications of efforts. Strong communication decreases accounting errors. Strong communication help decrease call center, weblogs, external sources, and sales rep errors.

2. What lesson does creative story provide for U.S. businesses? What does this forecast for the global marketplace in general?

The story that the company creative really demonstrates how a business can transcend into a corporation. The short goals that creative set, the strategy plan that the company used are really strong tactics that any entrepreneur should take into consideration of using. Downsizing and shifting their focus on low costs, fashion-based, and high demand customer consumer product products really gave created a strong leverage nationally.

Case 2

Discussion questions

1. What social and economic forces are causing the media industry to redefine its business model?

Social economy factors in today’s networking systems are being redefined because of short end transitions. Lots of advertising companies has accredited the Internet to be a powerful marketing tool. The Internet has proven to be a powerful marketing force that many small businesses are now turning to for digital media.

2. What changes are those in the media industry making to adapt to their financial challenges?

A few companies has resulted to layoffs, and replacing those employees with outsourced services from other companies.

Critical thinking questions

1. What risk to quality, if any, do media companies face when outsourcing editing and content creation to overseas countries?

Cuts, are the acute risks to quality. Layoffs can cause quality towards the organization. Cutting expenses downsizing on ingredients and material is another form of quality reduction. Media companies are now Outsourcing editorial services and content creation. This form of outsourcing helps distinguish themselves from other companies.

2. How does the centralized and outsourcing services and the media industry compared to centralizing and outsourcing and other businesses?

Outsourcing involves contracting with outside professional services to meet specific business needs. Studies have shown that simple solutions like centralizing and outsourcing operations to make up for lost revenue helps media industries as well as other small businesses. Centralizing and outsourcing services in the media industry involves a transition between advertising from public marketing to the Internet. Other small businesses are also using the same transition from newspaper, television advertisement to digital media.


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