You are playing the role of the divisional manager of the new e-bike division of Fox Factory Holding Corporation. The divisional manager is preparing to request funding to introduce the product and begin sales. Three options have been identified (note that these are fictitious assumptions):

Produce the new e-bike internally,

Outsource manufacturing to another manufacturer, and

License the design to an existing company for royalties on future sales.

In your report,

Develop a three-year spending and headcount forecast in Excel for the next three years for the three potential options. Please do not forecast the current year.

Explain the key issues and considerations for the forecast.

Answer rating: 100% (QA)

1 Identify the key cost components for each option Internal Production This would include costs such as raw materials manufacturing equipment labor ov... View the full answer