Accounting and Business Ethics

Q 1: Analyse Burton using the value chain model and Competitive forces model.

(Primary Activities of Value Chain)

Ans: In the case of Burton Snowboard we came to know that first of all Burton gives prime concern to their customers, as we read in the case there was a example given that “ If a rider tests a jacket and then he recommend for a zipper, so then burton’s producers tried their level best to do this manufacturing quickly and easily.

Burton introduced the new software such as SAP Enterprise Resource Planning (ERP), and Oracle data base, a SUSE linux enterprise server and commodity hardware, which helped burton to follow the Inbound logistics.

Burton started to make better their communications with the warehouses by which workers come to know about the stock available, It improved their this process with the help of EDI system operation which identify unnecessarily complicated process,

All these new software were implemented and introduced by burton to keep away the allocating products and orders manually to the customers outbound logistics.

They started to marketing and sale their products online by the help of online selling software, and they went towards progress by upgrading their IT landscape.

Burton has controlled the 40% of US snowboarding market, and beside it serves in the other 27 countries, like Austria, Japan, Urawa etc.

Five competitive forces model that which effect a company still provide a valid framework for reviewing threats rising in the business era.

The bargaining power of the supplier which can be define as when an organisation buy any thing from  supplier, the bargaining power of its supplier got low because of wider choice and increased commoditization due to procure-to-pay process and e-market.

The bargaining power of buyer is the part of competitive forces model, which can be defined as the  power of customers  which shop online are increased since they have broad choice, product’s prices are probable to be forced down through increasing in customers.

This competitive force model followed by the Burton snowboard company as it concentrate on their customers feed back and moved quickly to fulfil the demands of their customers which helped to enhance their business.

Q:2 Why are the business processes describe in this case such an important source of competitive advantage for Burton?

Ans: Business processes which are described in this case are such important source because Burton made use of the SAP analysts software in which he could identify his critical need in which he was been completed with placing orders, enquiry requested product, delivery time, and a lot which helped burton to move this company towards progress

He was also unable to feed them back on the inquiry being made by the customers of the precise information and availability of product in stock.

He identified that he could not meet up with the products ordered because of stock managing, he identified the delay in deliveries of his product.