O-Fold Innovation Essay

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Business Strategy Case 3 The O-Fold Innovation Stacey Sauve Olds College February 14, 2013 Introduction Alex Richards, a university student, has created an innovation where clothing can be packed into a tight space as a carry on, without worry of getting wrinkled while on a flight. Richards came across this idea while packing to go visit his fiancé; he could not decide how to transport his suit without it getting wrinkled. That’s when he invented the O-Fold, which is used to prevent wrinkles from happening when coming in contact with an edge. The problem that arises for Richards is that he does not possess the required capital, or expertise to launch the product successfully. Richards needs to design a business model that will give this innovation the best chance of being profitable. The main issue is that he is doesn’t know if he should work with angel investors. They can provide financial and strategic benefit for the growing company, but this is a risky endeavor to pursue. SWOT Analysis Strengths * Innovative and practical * Light weight and compact * Limited substitutes * Affordable * Low production costs | Weaknesses * Patent is expensive * Insufficient entrepreneurial experience * Needs financial aid to expand * Time restraint | Opportunities * Franchise * Expand globally * Increase marketing and advertisement * Expand to retail and wholesale stores * Integrate new product designs | Threats * Economic conditions (recession) * Established competition * Fear of terrorist attack similar to 9-11 | Discussion of Key Points from the SWOT Innovative and practical – Simple design where clothing can be packed into tight spaces with no worry or getting wrinkled. Insufficient entrepreneurial experience – Richards is a university student who has not yet experienced the business world. His majors are accounting

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