Case study: fulfillment by amazon
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3-4. In your own words, summarize AllRoad Parts’ competitive strategy.
3-5. Summarize the advantages and disadvantages for AllRoad Parts to sell items via Amazon.com. Would you recommend that the company do so?
3-6. For items that it sells itself, compute AllRoad Parts’ cost of using FBA to process:
a. An order of 10 sets of bicycle pedals weighing a total of 25 pounds.
b. An order of a single set of bicycle pedals weighing 2.5 pounds.
c. The cost of a cycling shirt weighing 10 ounces.
d. The cost of storing 1,000 sets of bicycle pedals for 3 months (using your own assumptions).
3-7. If AllRoad Parts were to use FBA, what business processes would it not need to develop? What cost would it save?
3-8. If AllRoads Parts were to use FBA, what information systems would it not need to develop? What costs would it save?
3-9. If AllRoad Parts were to use FBA, how would it integrate its information systems with Amazon’s?
3-10. In your opinion, does it make sense for AllRoad Parts to use FBA? Justify your answer.
3-11. How, if at all would your answers to question 3-4 through 3-10 change if AllRoad Parts makes some of its parts using 3D printing?
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