The computer industry generated sales of 352.4 million units worldwide in 2011 (Plunkettresearchonline, 2012). The name of the business is called Computer Heaven. Computer Heaven is a start-up company that will operate in…
The corporate structure that the company selected is corporation.
The company selected the corporate business structure because the firm plans to establish retail establishments across the United States. The corporate business structure can be used to raise capital faster. The customers the firm plans to target are computer enthusiasts of all ages. The firm will be competing against large and small computer vendors. To achieve the company’s goals the company plans on becoming a publicly traded corporation listed in the New York Stock Exchange (NYSE). The firm plans on using a customer intimacy model to increase the customer retention of the firm. Customer retention is important because based on Pareto’s 80/20 rule 80% of a firm’s sales comes from 20% of its customers (Reh, 2012). The firm will also maintain good working relationships with other stakeholder groups such as employees, lenders, and suppliers. The long term plan of the company is to become one of the industry leaders in the computer ...
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