Download - Becca’s Bows
Becca’s Bows By: Rebecca MacarenoPeriod 2
Becca’s Bows
Commercial
http://www.youtube.com/watch?v=Rx2xjzZ9oOY
Magazine Ad
Why bows?
Perfect competition vs. Oligopoly Too much food competition Produced a differentiated product There wasn’t much bow competition
Making bows is fun It wasn’t stressful making
Easy to sell to my consumers (girls) I didn’t have to bug them to buy some
The Bow’s Purpose
Make girl’s hair fun In an inexpensive way
Make them more confident about their hair Share the gift of bows
My Goal
I wanted to make back at least half of the money I spent on supplies (ribbon, hair ties, etc.)
I wanted to create a good credibility My costumers create hype My costumers become loyal
I wanted to have fun in the process
Demand Schedule?
Pricing… Not a lot of people were producing bows so I was able to
create the price If there was more competition, I would change the price
The Cost
1 ½ wide & 12 ft long Hot pink ribbon 1 ½ wide & 9 feet long Light pink ribbon Pink thread Needle Hair bands
Total cost: $4
The labor
8 minutes to.. Form the bow Prepare thread and needle Sow to the hair band Do finishing touches
Oligopoly
75%
5%
20%
Products Sold
FoodBowsOther
• Small number of sellers
• Large amount of market power
• Price maker
Effect on the Profit
Since I was able to create the price.. My business was very cost-effective Cost to produce bow $.15 Profit was $1.85 per bow
The CostThe Profit
$0.00
$5.00
$10.00
$15.00
$20.00
$25.00
$30.00
Selling Week 1
Cost Profit 0
5
10
15
20Selling Week 2
Selling
Costumer Reviews
95% costumer satisfaction 1 mishap (a hair tie broke)
Most would recommend the bows to a friend Most would buy bows again
Sole Proprietor
Advantages
One person in charge (Me)
Easy to manage Did not have to share
profit with partners
Disadvantages
Unlimited liability Responsible for all the
business’s losses I had to do all the labor
Why not another business organization?
Partnership “Bands and Bows” My partners did not put in work I created all my bows They did not create their headbands I wanted all the profit
I decided to leave them
Success or Failure?
Success.. It cost $0.15 for each bow plus 8
minutes Profit of $1.85 per bow sold I did not have to share profit It was lots of fun
Real World?
I would compete in a monopolistic competition.. Hire more workers Increase the supply of needed material Make normal bows and specialize in holiday bows
Do you want a bow?
Catch me around school What type of bow? Color? Size? By when? Cost? $2