1. Case analysis: Use specific reasons and details to explain your recommendations. (no less than half a a) Source Outdoor page) Gerald Schwartaman came up with the idea for the outdoor furniture business, Source Outdoor, when he went shopping at several Miami, Florida, stores for outdeor furniture for the bakomy of his apartment. Shocked by the high prices of couches, wicker chairs, and chaise lounges, Schwartaman decided to open a business that imported low-cost, high-end outdoor fumiture. He found a low-cost supplier in China and placed an order. When the four containers arrived, Schwartzman unloaded them himself and then switched roles, becoming his company's one-man sales force. Within a few months, every store that he had visited had some of Source Outdoor's furniture in their showrooms. To expand his company's reach, Schwarteman began selling through local interior designers and decorators and to hotel at discounts of 50 percent of the normal retail price. After working with one online furniture retailer, he began filling orders for other online retailers. Like the brick-and-mortar retail stores he supplied, Schwartaman offered online furniture retailers discounts of 60 percent off retail prices. Most of the sales to the public were at full retail price, generating impresslve profit margins of more than 300 percent. Soon Source Dutdoor's sales had reached $4.4 million: then they doubled to $9 million. As Source Outdoor's sales volume increased, Schwartaman began to notice that his manufacturer in China was shipping aluminum chairs and tables that had flaws, such as discolored metal costings, mismatched fabrics on cushions, and weak, metal supports. Because he had built his company on the premise of selling high-end, quality furniture at moderate prices, he knew that the quality problems could threaten Source Outdoor's reputation and succers. Schwartaman decided that the best way to address the quality problems with his supplier was to manufacture those items himself. Soon Source Outdoor was making much of the same furniture in his coenverted Miami warehouse that he had been importing from China but the quality of the products was much higher. In addition, Schwartaman could now fill orders much faster (shipments from China took months to acrive) and could offer custom designed finishes and cushions, a feature that was appealing to many of his interior designers, decorators, and retail furniture store customers. Although Schwartzman wants to expand the percentage of his company's products made in house, he realizes that he will have to continue to import items that are labor-intensive, such as handcrafted woven wicker furniture, from China and other countries with low labor costs. One day, Schwarteman received a call from one of his best retail customers who complained about Source Outdoor selling directly to customers at the Florida home show. The store owner said Source Outdoor was taking potential sales from his store and all of the other nearby stores to which Schwartzman sold. He realized that similar calls from other retail customers were likely to come and began weighing his options. The home show sales were important to his company and generated impresshve profit margins. 50 far, he had encountered none of the retail stores he supplied at the home show. Schwartzman was able to move slow-selling merchandise at attractive margins, but was doing so worth alienating his primary customer base, the retail fumiture stoces that carried his company's products? Questions: 1. Is Shvartsman's entrepreneurlal story typical of the way that other entrepreneurs come up with the ideas for their businesses? Explain. 2. Write a brief memo to the founders of Source Outdoor outlining a bootstrap marketing plan for the company. 5cored 10 points b) Competent speech presentation today means the distinctive way a speech is presented that makes it memorable, which is achieved primarily through the speaker's use of tanguage. Imagine that you are going to present a speech to a group of people about the ways of zathering ideas about a topic. In what creative way would you improve your derlved credibility? Score: 10 points. 11. Essay question: (at least one page), Give specific reasons to support your answers. "Visuals focus audience attention." To what extent do you agree or disagree with this statement. Score: 10 points III. Message Strategies: Informational Repert: Currently, obtaining higher education has become a mass occupation of modern Azerbaijani youth. Up to 70x of secondary school graduates continue their studies at universities. At the same time, all institutions of the secondary vocational education system have been practically liquidated (many technical schools have become colleges that graduate tourism managers, lawyers and other "specialists"). 1. Highlight several main problems of higher education in Axerbaijan. 2. What is the strategic goal of public education policy? How can they do it? Score 10polnts W. Business Plan Strategies: Lina sports is an Italian sportswear manulacturer. It was founded in 1978 and has since become a worid-famous company. Originally, it specialized in tennis shoes, but later it diversified into football, athietics, tennis and volleyball clothing. The directors of the company are of different nationalities, and the working language of Lina Sports is English. During the last three years, Lina Sport's annual results have been disappointing. Profits have fallen steadily while costs have risen, and competition in its markets has been fierce. At present, it is reviewing its strategy in order to improve its performance. It also faces the possibility of being taken over. A giant French retailing group has announced that it would like to acquire the company, but only in the event of a "friendly takeover., with full agreement from the present management. Write an executlve summary for the manufacturer to improve the situation. Score: 10 points