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1. b) A bike producing firm produces a product tamily of bikes for kids and has done so for more than 30 years. These bikes are available in 3 colors (green, blue and red), with 2 frame sizes (20 and 26 inches as well as three different gear/shifts (completely without 3 gears and 7 gears). The market is mature, rather price competitive but with a stable demand. Bikes are typically distributed by local hardware stores. How many different kinds of bikes are they potentially producing based on the above information? A new sales manager is proposing to the management team to develop and produce a new kind of trendy bike popular among youths, a black low-rider' with fixed gears (no freewheel mechanism). This new segment is rather sensitive to product performance and require advanced integrated products of high quality but according to the sales manager the revenues is potentially going to be rather high due to high sales prices it the form manage to be among the first on the market. Assume you are the operations Manager for this form (responsible for production and product development, which problems and arguments against developing and starting up production of this kind of product in the existing firm and production system can you think of? 1. b) A bike producing firm produces a product tamily of bikes for kids and has done so for more than 30 years. These bikes are available in 3 colors (green, blue and red), with 2 frame sizes (20 and 26 inches as well as three different gear/shifts (completely without 3 gears and 7 gears). The market is mature, rather price competitive but with a stable demand. Bikes are typically distributed by local hardware stores. How many different kinds of bikes are they potentially producing based on the above information? A new sales manager is proposing to the management team to develop and produce a new kind of trendy bike popular among youths, a black low-rider' with fixed gears (no freewheel mechanism). This new segment is rather sensitive to product performance and require advanced integrated products of high quality but according to the sales manager the revenues is potentially going to be rather high due to high sales prices it the form manage to be among the first on the market. Assume you are the operations Manager for this form (responsible for production and product development, which problems and arguments against developing and starting up production of this kind of product in the existing firm and production system can you think of