Case study
The book store is a business which sells a variety of books to suit any lifestyle, from bestselling novels, educational material to children’s books.
The owner, Wendy Brooks, has realised that there is a demand for creative stationery based on her customers’ requests. She decided to expand her business by producing a stationary line including creative paper, envelopes, notepads, creative stamps, craft pens and wrapping paper which she will sell in store.
Wendy is considering using semi-finished products to produce the stationery and wants to import the creative stamps and craft pens in china. Wendy plans to apply for a business loan in order to gain the capital for the expansion of the book store. Wendy knows that she has to conduct thorough research before starting this new venture.
You are required to assist Wendy by conducting the research and preparing a typed investigative report on the following points:
a) research the infrastructure needed to manufacture the stationary-line.
1 answer
1. Production facility: Wendy will need a space where she can set up the manufacturing equipment and store the semi-finished products. The facility should be large enough to accommodate the production process and have proper ventilation, lighting, and electrical connections.
2. Equipment: Wendy will need equipment such as cutting machines, printing machines, packaging machines, and any other specific equipment required for the production of the stationary line. She will also need to ensure that the equipment is of good quality and suitable for the type of products she plans to manufacture.
3. Suppliers: Wendy will need to establish relationships with suppliers for the semi-finished products that she plans to use in the production process. This may include suppliers of paper, ink, stamps, pens, and other materials necessary for the stationary line.
4. Distribution network: Wendy will need to consider how she will distribute the stationary line once it is produced. This may involve setting up agreements with wholesalers, retailers, or selling directly to customers through her book store.
5. Staffing: Wendy will need to hire staff to work in the production facility, including operators for the manufacturing equipment, quality control staff, and administrative staff to manage orders and inventory.
6. Compliance and regulations: Wendy will need to ensure that her production facility complies with all relevant regulations and standards for manufacturing stationary products. This may include safety regulations, environmental regulations, and labor laws.
By researching and considering these infrastructure requirements, Wendy can plan and budget effectively for the expansion of her book store to include a stationary line.