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Stadium Concessions Division Proposal Bill “ Bratz ” Major Matt “DJ Cheesesteakz ” Powers. Prestige Worldwide - Stadium Concessions Division Business Model.
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Stadium Concessions Division Proposal Bill “Bratz” Major Matt “DJ Cheesesteakz” Powers
Prestige Worldwide - Stadium Concessions Division Business Model • Prestige Worldwide has already cornered the music industry’s mobile karaoke party niche, so it’s time to branch out to the wide world of sports • Real sports fans want quality • We scoured the country for the best of everything and brought our aviation backgrounds (and party skillz) to bear in the development of a quality concession distribution and sales network
Prestige Worldwide (Stadium Concessions Division) Business Model Cheesesteaks From Philly Only the best
Coffee From Seattle Only the best
Brats From Chicago Only the best
Prestige Worldwide (Stadium Concessions Division) Business Model Peanuts From Atlanta Only the best
Prestige Worldwide (Stadium Concessions Division) Business Model Malts From L.A. Only the best
Prestige Worldwide (Stadium Concessions Division) Business Model Wings From Dallas Only the best
Only the best http://www.concessioncorp.com/profitmarginanalysis.htm
SWO-Daddy Cash…$$$! Recently selected for promotion…$$$! Not Prestige Worldwide material Only the best
Supply and Demand Century Link Field Soldier Field Lincoln Financial Field Georgia Dome Qualcomm Stadium Metro Dome
Representing Ground Transportation Costs SEA_A SEA_D LAX_D DFW_A DFW_D PHI_A PHI_D ATL_A ATL_D ORD_A ORD_D LAX_A Single Commodity Flow Multi-Commodity Flow Dummy return arc from sink to source for flow control
Included Backup Local Suppliers SEA_A SEA_D LAX_D DFW_A DFW_D PHI_A PHI_D ATL_A ATL_D ORD_A ORD_D LAX_A
Enhanced View of Chicago’s Node Cluster Local Multi-Commodity Retailer -Clp Soldier Field Premium Brat Supplier UL = Brat Demand* ORD_Dep Other Airport Arrival Terminals ORD_Arr -Cr UL = Brat Demand UL = Brat Supply Cp Cat Single Commodity Flow Cgt Cat Multi-Commodity Flow Dummy return arc from sink to source for flow control Cat Cp Production Cost Cat Cat Cat Cgt Ground Transportation cost Cat Air Transportation Cost -Cr Revenue Other Airport Departure Terminals -Clp Profit from sales of local items Demand only satisfied locally if premium supplier falls short *
Attack on SuppliersPremium Supplier Can’t Satisfy Demand • Flow of malts out of LA and through everywhere else is interrupted • All other commodities can flow through the red arcs • Premium production cost incurred for buying malts from local vendors • Except for LA, where good malts are still cheap and easy to obtain SEA_A SEA_D LAX_D DFW_A DFW_D PHI_A PHI_D ATL_A ATL_D ORD_A ORD_D LAX_A
Attack on VendorsLoss of a Stadium SEA_A SEA_D LAX_D DFW_A DFW_D PHI_A PHI_D ATL_A ATL_D ORD_A ORD_D LAX_A • All revenue for one stadium is lost • No rerouting of commodities required
Attack on AirportsInclement Weather or Other Shipping Issue SEA_A SEA_D LAX_D DFW_A DFW_D PHI_A PHI_D ATL_A ATL_D ORD_A ORD_D LAX_A • Inclement weather results in airport shutdown • All flow of all commodities interrupted through LA • Qualcomm must go local for all commodities, incurring premium production costs for those products • All other stadiums must go local for malts, incurring malt premiums
Attack on AirwaysLoss of a Particular Air Route 3 2 SEA_A PHI_A SEA_D LAX_D DFW_D DFW_A PHI_D ATL_A ORD_A ORD_D ATL_D LAX_A 1 4 4 4 PHI ATL PHIATL, PHIDFW PHIATL, PHIDFW, PHIORD DALSEA, LAX, ORD; PHIATL DALSEA, LAX, ORD; PHIATL; ORDDAL • Only one air transportation arc disrupted per attack, local supplier arcs are not eligible for attack • Up to three attacks, the interdictor isolates the most profitable commodity and then tries to take out the next most profitable, but the backup suppliers confound the interdictor, which actually bumps up profits slightly
All Arcs Eligible For Attack Cuts off premium suppliers Cuts off vendors, then best product All previous, plus LAX local suppliers SEA_A PHI_A SEA_D LAX_D DFW_A DFW_D ATL_A ATL_D ORD_A ORD_D PHI_D LAX_A LA falls off the map completely, top four suppliers, ATL airport and local suppliers • Attacks are nested somewhat by category • Premium suppliers are prioritized over vendors, then local suppliers and airports are mixed until virtually all profits are eliminated
Conclusion • Most valuable suppliers: • Philly’s cheesesteaks • Dallas’ wings • Chicago’s brats • LA’s malts • Atlanta’s peanuts • Seattle’s coffee • Most valuable airports: • Same as suppliers, because shutting down an airport has a similar effect on the overall network as shutting down a premium supplier • Most valuable customers: • Dallas Metro Dome • Chicago Soldier Field • LA Qualcomm Field • Seattle Century Link Field • Philadelphia Lincoln Financial • Atlanta Georgia Dome • Room for improvement: • Model more realistic supply chain with more suppliers for each product and each city • Create a user interface that allows the operator to enter projected supplies/demands, production costs, ground and air transportation costs • Prestige Worldwide Concessions Division is a perfect fit! INVEST NOW!! • Minimum startup investment: $3.25 Million
Questions? production This has been a