The Case Study Spinning Wheel: Business Correspondence
THE CASE: THE SPINNING WHEEL
It is February 1, 2022 and you are the administrative coordinator for a small bicycle sales and service business, The Spinning Wheel. The company employs approximately 20 people, has a store and repair center, and uses the Internet to promote the company and its products. The business has grown quite quickly over its two years in operation. Part of your job is to coordinate the company’s marketing and promotional activities.
The company’s owner, Jim Spokes, is now interested in marketing the company on a larger scale. He has decided to take the following actions to enhance the company’s image, increase awareness of the company name, and generate new sales during the peak spring season:
- Provide collared polo shirts embroidered with the company logo to all These shirts are to be worn during working hours during and possibly after the campaign.
- Offer complimentary water bottles (with the company logo and promotional information) to customers who visit the store.
- Use T-shirts with the company logo as a promotional tool, perhaps as giveaways in a draw designed to build the company’s customer
Jim has asked you coordinate the project. He has set a budget of approximately $2,000 for the shirts and water bottles; however, he has made it clear that the budget is flexible and that he is open to changes or ideas that could make the program more successful.
As project coordinator, you will be required to complete the following tasks. However, you are not only completing the tasks, you are coordinating the project. As such, it is your responsibility to set and meet deadlines, to anticipate and manage problems, and to recognize and take advantage of opportunities. You may also be required to make and act on reasonable assumptions about things that are not explicitly stated in the task list.
TASK 1- Request for Information and Price Quotes
Correspond with three different companies – Company Images, Branding Iron, and Print It – asking for information and quotes for the promotional items described above. While you do not know the exact number of items you intend to purchase, you want price quotes for:
- 60 ‘polo’ shirts, embroidered with your company’s logo on the left-hand pocket;
- 700 water bottles with the company logo; and,
- 200 moderate quality T-shirts with a printed logo.
You have included a sample of the Spinning Wheel logo, and you need a response by the middle of February. The companies should be made aware of the May 1st, 2022 launch date for the campaign, which will run through the end of June.
TASK 2 – Summary and Recommendations
You have received 3 quotes with the following information:
Company Images Collared shirts with logos – price depends on the number ordered
0- 50 $10.00 net each
51-100 $ 9.00 net each
101 + $ 8.00 net each
Water bottles – $.77 each regardless of quantity
T-shirts – minimum order 250 shirts
Two-colour shirts $ 3.00 net each Multi-colour shirts $ 5.00 net each
Branding Iron Collared Polo Shirts – $8.50 each
Water bottles –
under 500 $.95 each
501-749 $.80 each
750+ $.75 each
T-shirts – $4.00 each (minimum 250 shirts).
With an order for another product, the price is $3.00.
Repeat Orders – The Company offers a 25% discount on repeat orders.
Print It Collared Polo Shirts
0-75 $9.00 each
76-250 $8.00 each
Water bottles – onetime $25.00 surcharge for logo, then $.90 each.
Standard Quality $4.50 each Premium Quality $6.00 each
Compile the information to help Jim decide which supplier to select. Correspond with Jim outlining the feedback from the three different companies and offering recommendations. You may wish to make recommendations for revised quantities or additional purchases to take advantage of volume pricing or repeat order discounts.
TASK 3 – Direct Information and Information Request
Jim has decided to proceed with the promotional campaign. He has decided to promote the project to company staff, inform them of your role as project coordinator, and request their help in making your job easier.
As part of the campaign, each member will get three complimentary collared shirts. They will be required to wear these shirts at all times while at work commencing May 1st and throughout the campaign. Staffs need to supply you with their shirt sizes in time to meet production schedules and deadlines. To help them prepare for the campaign, staff should also be informed of the company’s promotional plans and other promotional materials to be ordered.
Prepare correspondence from Jim to all Spinning Wheel employees that meet the above objectives.
TASK 4 – Product Order
Jim has decided to accept the order from Branding Iron. He has also decided to order more T- shirts and water bottles to take advantage of discounts. He has asked you to order the following items:
- 66 collared shirts: 9 Small, 15 Medium, 18 Large, 18 X-Large and 6 XX-Large
- 750 water bottles with the following design – (A picture of the company logo with the inscription.
- 600 T-shirts in the following sizes: 50 small, 50 mediums, 200 large, 300 x-large.
With your correspondence to Branding Iron, you are including a digital copy of the logo for the artwork on all products and a deposit of $300. You intend to pay the rest within one month of receiving the merchandise in good order.
TASK 5 – Claim
The order finally arrives and everything seems fine. The polo shirts are excellent quality, the water bottles look great, and the T-shirts are bright and colorful. Upon closer examination, however, you see that the wrong quantity of T-shirt sizes has been shipped. There are 300 small and 50 extra large. Knowing that most of your market is comprised of adults who usually require larger shirts, you know that this will not work. You review your files and are certain that the mistake is not yours. Correspond with the supplier explaining the situation and include your expectations. The problem you are facing is time. Since advertisements announcing the new promotion have gone out to the papers already, you need this issue resolved as soon as possible.
TASK 6 – Advisement and Claim
All staff has picked up their ‘polo’ shirts, and their response to the promotion has been really positive. Staff members seem pleased with the quality of the shirts and are enthused about the other promotional materials. However, when you arrive at work the day after handing out the company shirts, 8 people are waiting for you with shrunken shirts; these people have washed at least one of their shirts in warm water according to directions on the collar. You suspect that others may have shrunken shirts as well. You consult with other staff and find that some of them have washed their shirts in cold water with no shrinkage problems. You need to take care of the immediate problem and take measures to minimize future damage.
6a Inform staff of the problem, giving them directions on how to handle things if they have shrunken shirts and how to avoid future damage.
6b Inform the supplier of your situation, clearly expressing your needs and expectations.
Task 7 – Goodwill Correspondence
The promotion is in high gear and you are greatly relieved. Upon recollection, you realize how much help you received from the Branding Iron Sales Representative who provided the original quote and remained your contact throughout the project. S/he was always quick to return your calls, address your concerns, and provide efficient service. When you had the shrinkage problem, s/he was quick to offer a solution and assist you to meet the deadline. You want to acknowledge this assistance. As well, you hope to be able to work with the same representative on future projects. Inform Branding Iron’s Sales Manager of the rep’s excellent service and customer support.