Wes Klockner, Hannah McCarty, Bob Musso

Goal: Highest Shareholder Value Strategic Plan:

Low priced mountain bike, sell all inventory

High priced road bike, take advantage of niche market

Quality top priority (0.96)

Dividends

▪ $1 rise in dividend per share = $1 rise in Shareholder value

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$10.00

$20.00

$30.00

$40.00

$50.00

$60.00

Round 1 Round 2 Round 3 Round 4 Round 5 Round 6 Round 7 Round 8 Final

SHV Rounded to Nearest Dollar

SHV

* Manage expenses- controlling idle capacity more effective than selling 50 more bikes- don’t overproduce

* Dividends very effective- best way to boost shareholder value

* Less competition extremely beneficial-sold every road bike possible

* High quality = high price- still sell even with bikes that had much lower prices in the market

* Market summary report most effective- where a business stands in the market is important