906 WordsFeb 25th, 20124 Pages
Background Case :
The main line from the colorscopeinc background are the corporate was found in march 1976, the first target customers is local customers (small agencies), and after that colorscope growth significantly that thing can be proved in 1988 sales colorscope over than USD 5 Milion and they served Big Customer, since growth they invest capital expenditure in order to improve services. In 1990 when the overall technology growth rapidly and there are more competitor than before, this situation make the condition under pressure, the first impact from this condition is price war,so the market pressure forced him to reduce his own price. After all finally in 1994 ,colorscope loss signifant& long term client ( where the client…show more content…
At present Colorscope Inc. quoted more or less the same per page price for different customers, plus additional charges for special effects.
Questions 1. How could Colorscope improve its operation? 2. How could it change its pricing strategy? 3. What accounting and control should this company install?
1. Colorscope’s strategy to improve its operation are: * If we talk about performance it’s correlated with revenue, marketing area is lead by Mrs. Agatha Cha and Mr. Joe Cha. Since Mr. Joe will move to Shanghai to pursue a career in consulting, Company have to prepare new personnel to replace Mr. Joe’s position. Highly recommended the new marketing personnel have good skill and knowledge in technology ,so when colorscope want to get more revenue they must have marketing campaign to get big fish.
* They must changed the based printing method from conventional to modern based which is more eficien and effective. It can be looked in the picture
Beside leadtime changing from conventional based to be computer based can reduce cost * According to organizational structure
* Cost competitive pressure can be reduced by shrank the hours spent on rework. Colorscope was spent hours for rework which means it has impact to quality control wages cost ($ 11,000, June 1996) that caused the increase on product cost. Reworks are divided into rework initiated by customer due to change in specification and rework caused by error in-house. This kind
Case | HBS Case Collection | June 2017
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