1.state what are the company's goals and culture?

2.What products and services does E-Bikes USA's. provide? How many types of products and services are available to customers? How does E-Bikes USA's sell its products?

E-Bikes USA was founded in 2007 by Carl Schmidt and Steven McFadden, two young but experienced bikers with engineering backgrounds who saw that E-Bikes were becoming very popular in the United States as both a sporting and racing bike both on-road and off-road.They developed frames for E-Bikes USA that were more suited to off-road handling and started using these frames to build their own e-bike models using motorcycle engines manufactured by other companies, such as Honda and Rotax Motors of Austria. Riding on one of their customized E-Bikes USA, Steven finished first in the famous Barstow to Las Vegas race. There was so much interest in Carl and Steve's bikes that they decided to open a production facility that could manufacture large numbers of their E-Bikes USA for the retail market. They opened a small production facility in Carbondale which has since expanded to house 120 workers involved in production, design, and engineering and a corporate sales and administrative staff of close to 20 employees. Over the years, E-Bikes USA has enhanced and expanded its product line to include more dirt bike models optimized for racing and for off-road recreational use. Its racing models have placed well-and often placed first-- in the many dirt bike races staged throughout the United States, including the Barstow-Las Vegas race and competitions at Daytona Bike Week.

Organization Chart and Employees

E-Bikes USA is still privately owned with Carl serving as CEO and Steven as President and Chief Operating Officer. About 120 employees work in design, engineering and production, including 3 full-time product designers and 3 engineers. In addition to a 4-person Parts department, E-Bikes USA maintains a ten-person service department to service warranties and customer problems with parts and motorcycle performance.Five employees work in E-Bikes USA' shipping and receiving department. E-Bikes USA' sales staff consists of a marketing manager and 5 sales representatives, two for the West coast and Western United States, one for the Midwest, one for the Northeast and one for the South. The corporate administrative staff consists of a controller, one accountant, one administrative assistant, two human resources staff members, three secretaries, and two information systems specialists to support systems servicing all of the business functional areas. The data file E-Bikes USA Org Chart shows E-Bikes USA's organization chart.

The company maintains a very friendly family atmosphere, encouraging teamwork, attention to detail and quality, and continual learning and innovation. Employees, distributors, and retail customers are urged to contribute ideas on how to improve E-Bikes USA's products and service.

Products and Services

E-Bikes USA's founders realized that the most popular E-Bikes were foreign brands and wanted to capitalize on their proximity to the E-Bikes USA racing circuit and market in the United States. Carl and Steve hoped they could develop bikes that performed and looked better than the competition by using the best custom parts available. E-Bikes USA does not hesitate to use quality components from all over the world. The electric motors for E-Bikes USA are Yamaha, Fazua, Mahle, Specialized, and Bosch componets from all over the world and tires are from Continental, Kenda, WTB, Michelin, and Maxxis, but many of their parts, such as shock absorbers, front wheel forks, batteries, and headlights, are from the United States. E-Bikes USA makes its own frames, shaping them to give them the unique spirited style for which the company is noted. The company's parts and service business accounts for about 15% of its total revenue.

Manufacturing and selling E-Bikes USA is a complex business. E-bike riding has many forms, including racing specifically for different size bikes, for short distances, long distance, and even collapsible e-bikes. Enduro bikes are for off-road racing and Moto e-bikes are specially designed for racing in an enclosed dirt course that can consist of a variety of terrains; uphill, downhill, corners, jumps, and so forth. E-Bikes USA currently produces four models: the Enduro 250, the Enduro 550, the Moto 300 and the Moto 450. The two Enduros are endurance racers, while the Motos are for motocross racing. All four are very modern, with updated technology. The large majority of these bikes are sold in the United States for between $3,250 and $9000 retail. (The Enduro 250 retails for $3250, the Enduro 550 retails for $7600, the Moto 300 retails for $4295 and the Moto 450 retails for $8995.) E-Bikes USA has appealed primarily to serious trail and Enduro riders, although it is making inroads into the motocross market.

Sales and Marketing

E-Bikes USA does not sell directly to retail customers, relying on a network of 40 distributors concentrated in the Western and Midwestern United States. A small percentage of E-Bikes USA are sold in Europe using independent distributors that sell other brands of E-Bikes USA and motorcycles as well as E-Bikes USA. E-Bikes USA's frames, parts, and service, including warranty repairs, can only be obtained through an authorized E-Bikes USA dealer. All frames and spare parts sales, shipping and set-up must be handled by a certified dealer. If a potential customer lives more than 50 miles from the nearest authorized E-Bikes USA dealer, the customer can purchase a e-bike or parts through a certified independent E-bike dealer. Retail customers can purchase spare parts directly from E-Bikes USA only by verifying that they live more than 50 miles from an authorized E-Bikes USA dealer.

E-Bikes USA's sales department works closely with E-Bikes USA' distributors. One of its key responsibilities is to aggressively promote E-Bikes USA at dirt bike racing and other events. Many E-Bikes USA employees are racing enthusiasts themselves. Several are official company racers representing the company in dirt bike racing competition.E-Bikes USA recently established a E-Bikes USA Owners' Group to promote stronger relationships with customers and to make it easier for them to share their E-Bikes USA experiences. E-Bikes USA also advertises in magazines devoted to motorcycle racing and E-Bikes USA. It uses a small public relations firm to place articles about new company products or racing victories in these magazines. E-Bikes USA also pays for ads in these publications.

Selected Financial Data

The data file E-Bikes USA Financial and Sales Data provides a spreadsheet with three worksheets containing E-Bikes USA financial data for you to review:

• Income statement and summary balance sheet data from 2018-2020
• Annual sales (units sold) of each E-Bikes USA model between 2016 and 2020
• Total domestic vs. international motorcycle sales (units sold) between 2018 and 2020

The income statement and balance sheet are the primary financial statements used by management to determine how well a firm is performing. The income statement, also called an operating statement or profit and loss statement, shows the income and expenses of a firm over a period of time, such as a year, a quarter, or a month. The gross profit represents the difference between the firm's revenue (or sales) and the cost of goods sold. The gross margin is calculated by dividing gross profit by revenues (or sales). Net profit (or loss) is calculated by subtracting all other expenses, including operating expenses and income taxes from gross profit. Operating expenses are all business costs (such as expenditures for sales and marketing, general and administrative expenditures, and depreciation) other than those included in the cost of goods sold. Net margins are calculated by dividing net profit (or loss) by revenues (or sales).

A balance sheet provides a snapshot of a company's financial assets and liabilities on a given date, usually the close of an accounting period. It lists what material and intangible assets the business owns and what money the business owes either to its creditors (liabilities) or to its owners (shareholders' equity, also known as net worth). We have included here are only the most important pieces of balance sheet data for you to review. At any given time, a business's assets equals the sum of its liabilities plus its net worth.Current assets include cash, securities, accounts receivable, or other investments that are likely to be converted into cash within one year. Current liabilities are debts that are due within one year. Long-term debt consists of liabilities that are not due until after a year or more. If too much debt has been used to finance the firm's operations, problems may arise in meeting future interest payments and repaying outstanding loans.

By examining a series of financial statements one can identify and analyze trends in the financial strength of a business. When examining E-Bikes USA' income statement and balance sheet data, pay special attention to the company's three-year trends in revenue (sales), costs of goods sold, gross margins, operating expenses, and net income (or loss). Pay attention to whether the company's short and long-term liabilities are growing and whether they exceed assets. If a company has more current assets than current liabilities, it is a sign that it probably has enough working capital to fund investments in new equipment or information systems.

The two other spreadsheets present motorcycle unit sales data between 2018 and 2020, which can be used to gauge motorcycle sales. When examining these spreadsheets, pay attention to the trends in sales. This includes the sales trends for each product E-Bikes USA sells, overall sales trends, and the proportion of international to domestic sales.