How the Golf Equipment Is Changing

On top of that recession of 2007-08 and counterfeiting products in the market was the worst exasperations Golf Equipment industry had ever met. Every sports equipment manufacturer needs sales on the peak to grow and sustain In competitive environment. Sales are forecasted on the basis of demand in the market. Up to this point Golf Equipment manufacturers were happy but when some Golf Associations and Clubs hopped in, they ruined the demand by imposing limitations on technological design Innovations In club head and golf balls etc. Core Golfers were the biggest source of Golf Equipment sales and revenue.

These consisted of the players who played 91% of the total golf rounds played in a year. Core Golfers had their problems as well for instance; hours of practice, instruction from a professional and patience to master all the aspects of Golf were their good excuses and a sales threat to Golf Equipment Industry subsequently. Underlying Drivers that changed Industry: The timestamp between 1997 and mid asses was the era of growth for Golf Equipment Industry but then came then came some underlying drivers that brought a downturn to the sales and growth.

These drivers are named and explained below along with the effect they left on this industry. 1. USGS and R & A Golf Club of SST. Andrews . Golfers and rounds played 3. Counterfeiting Products 4. Recession USGS and R & A Golf Club of SST. Andrews: From asses till early asses, Golf Equipment industry was growing. Lots of innovations were being brought by manufacturers. For instance; size of the golf driver was Increased to minimize the bad effects of efficient hits. Similarly wedges were given more groove for Improving accuracy and balls were redesigned too.

These all were for distance and accuracy purpose. These innovations proved good for PIG players 1 OFF as well as Tort Alphas. Average Elegance coverage was Increased Trot 2 yards. Consequently tournament committees started lengthening the golf courses. To protect the historic golf courses from being lengthened as there were space limitations, an association known as USGS (United Stated Golf Association) found CORD (Coefficient of Restitution or spring like effect in lay man’s language) in this game and this was the start of impositions on Gold equipment technological innovations.

CORD is a technical term describing the energy transference between two objects. According to USGS, CORD must not exceed 0. 83 otherwise spring like effect will be produced and that is barred. R & A Club of SST. Andrews also had an agreement with SAGA on the limitations imposed. R & A introduced another measurement I. E. CT(Characteristic Time) Test which, to avoid spring like effect required Golf ball to remain in contact with face of driver, not more than 257 microseconds. Although CT test was overruled by USGS subsequently but some other rules were brought in relating to driving clubs and balls.

Manufacturers were disappointed by the limitations imposed but they were still struggling to find their way. As USGS did not bring rules regarding club head size and club face, Golf Equipment manufacturers started trying to bring hangs in club face area that will produce maximum CT and they were successful. This club face performance was named as MOM (Moment of Inertia). After some alterations, golfers could achieve maximum driving distance. USGS after recognizing this change imposed limitation on MOM to 5900 g-CM with a tolerance of 100 GM- CM. Later on USGS imposed limitations on golf balls and wedges etc.

All these impositions affected golf manufacturing industry. Some companies challenged USGS by introducing a driver with 0. 86 CORD but all in vain. This affected the recreational golf players also. USGS answered all the challenges and blames by stating that the purpose of limitations was to avoid excessive reliance on technological advancements rather than skills. Golfers and rounds played: Apart from the fact that SAGA produced lots of obstacles in the growth of Golf Equipment Industry, there were some other factors also which contributed towards this downturn.

A survey conducted in 2003 showed that interest of Golfers themselves is also declining. This lack of interest was caused by overall difficulty of the game. Golfers usually don’t have much time to play as this game requires ample time to practice. Married players have had Job responsibilities as well as family time to be given. Players aged 40 and above were usually having health problems so they could not even play like core Golfers too. Some have even blamed high fee being charged which does not attract them more often.

Counterfeiting Products: In mid asses, counterfeiters were giving very tough time to branded companies. Sometimes these people were so good in counterfeiting products that they look very near to the branded ones. Golf Equipment branded companies were shocked when they realized that some auctioneers are selling counterfeited golf equipment for $1 50 o $400, the branded price of which is $2500 to $3000. It was easy for eBay sellers to offer cheaper equipment. Why these counterfeiters came into the picture?

There are different reasons, one of them is decisions made by golf executives who were sourcing club heads and giving contracts to manufacturers in china. Counterfeiters were persuading employees to steal molar AT Drained equipment . Black market production was also carried out in overtime. They even knew the packaging details of that equipment too. Steps were taken when six major manufacturers created an alliance to stop counterfeiting operations. A Chinese guy was prisoner for 3 years and fined $58000.

Golf Equipment Industry & Recession (2007-2008): The biggest factor which affected this industry was recession of 2007-2008. This was a combined effect which basically started with credit and housing industry. Another major effect was on oil prices shooting up from $2. 25 to $3 and then $4 per gallon in 2008. As the golfer that time might be a Job holder as well. He Might be using excessive credit cards. So recession made his credit card bills a huge burden for him and similarly for other golfers too. Rise in Mortgage payments added few more faculties to them.

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Case Study on Golf Equipment Industry

The industry overview The retail sales of golf equipment industry, which includes golf clubs, bags, balls, gloves and footwear, declined from approximately $4 billion to about $3 billion in 2003 and then rebounded to around $3. 8 billion in 2007 with many threats remaining. The changes in the retail value of golf equipment industry are closely related to the total number of golf players and total rounds of golf played in the country. The participation rate of golf has dropped approximately 21% from 27. 5 million in 1998 to 22. million in 2007, being the largest decrease rate during the same period among selected sports and recreational activities including bicycle riding, fishing, hunting, running, swimming, tennis and workout at fitness club (Source: National Sporting Goods Association in Gamble 2008, C-80,). The total rounds of golf played in the United States had rarely changed in the last decades, it is especially flat from 2004 to 2007, with less than 1% changes recorded (Source: National Golf Foundation in Gamble 2008, C-80). 7% of golf equipment sales are from core golfers-those playing at least 8 times a year and averaging 37 rounds a year (Gamble 2008, C-80). Although, there are less players and less rounds played then before, manufacturers are compelled to go ahead with their innovation and development schedule and even boost their spending in marketing (Stogel 2009). There are two types of manufacturers in the golf equipment industry.

High-end leading brands, which include well known name such as TaylorMade-Adidas, Fortune Brand (parent of Titleist and Cobra), Callaway, Ping, Cleveland and Nike spent huge amount of resources on R&D for innovative designs and distributed their product through on and off-course pro shops and major online golf equipment retailers. The low-end manufacturers such as Adam Golf and Dunlop Golf with less developed technological capabilities sold their products at attractively lower prices. They mainly focus on beginner and occasional golfers through department store, large sporting goods stores and discounters.

The three defining characteristics of the golf equipment industry are the number of golfers, gear design innovations and brand recognition. The United States Golf Association (USGA) and the Royal & Ancient Golf Club (R&A) had started placing more and more performance regulations to limit the manufacturers’ ability to develop equipments, clubs and balls, with advanced technological innovations, because USGA officials believed that it’s an effective way of protecting historic golf courses that could not be lengthened due to space limitations, but also ensuring that the skill is the dominant element in determining game’s success.

It is believed that such performance regulations had two impacts to the golf industry. Firstly, it discourages new golfers from taking up the game. Secondly, it equalises the technological differences between the high-end market leaders and the low-end producers. In all, the golf equipment industry is a fix-sized marketing driven market with current manufacturers, each trying to capture a bigger market share by growing reliance on price competitions. The competition in this industry for market share is fierce. The five-forces analysis

We take the five-forces model of competition to analyse the competitive forces in five areas that affects the industry attractiveness. 1. The competitive pressures created by the rivalry among competing manufacturers are very strong and have the greatest effect on the industry attractiveness, mainly due to: a. All leading brand manufacturers are active in delivering advanced products with design innovations in order to improve their market standing, b. All leading brand manufacturers are quite equal in size and capability. They can hardly be differentiated in overall product performances. . There are fewer buyers with less demand. d. Equalization of technological capabilities due to regulatory limitation has shortened the differences in equipment performance between low-end and high-end products. e. There is growing reliance on price competitions. The competitive weapons used by companies to outmaneuver one another include: a. Most brands started the battle of price cutting. The average unit selling price of most golf equipments dropped. For example: a. Drivers and woods dropped from $231 in 1997 to $174 in 2007. b. Irons dropped from $75 in 1997 to $71 in 2007. c.

Footwear dropped from $86 in 1997 to $81 in 2007. d. Golf bags dropped from $126 in 1997 to $116 in 2007. (Source: Golf Datatech in Gamble 2008, C79,) b. All brands are spending huge amount on R&D for technological advancement to give a better and easier swing, they also providing a boarder range of equipments to suit golfer with different needs (Rynecki 2001). In addition, some had added adjustable features such as the TaylorMade r7 drivers, which allow golfers to move tungsten weight plugs among a series of slots located in the rear of the driver to adjust launch angle and left/right dispersion. c.

Manufacturers were relying on winning endorsements contracts with touring professionals to enhance their image. For example, Nike paid Tiger Wood nearly $100 million endorsement contract in 2007. d. Custom fitting was offered by most manufacturers and pro shops. It became important to gain market share as most manufacturers introduced shaft flex options in early 2000s. 2. The competitive pressures associated with the threat of new entrants were weak mainly due to: a. The market demand does not show any increase since the number of golfers and the total rounds played are decreasing year after year b.

Most golfers have a very high degree of loyalty. They are highly likely to stick to the brand that they were using and normally have strongly believes to their favourite touring professionals’ choices. Along with the high technological product designs that influence most buyers’ purchasing decisions, it has made the entry barriers very high for this industry. c. Almost all existing manufactures are experiencing unpleasant profit grows in recent years. However, opportunities for new entrants still exist for low-end golf gears market under the current regulatory conditions. The new comer may be rofitable only if it completes the following goals: a. Become a fast & exact copy cat and compete on a low price. b. Be able to find reliable & low cost suppliers overseas. c. Originally has or be able to build good distribution channels, imaging Kmart or Target to have their “home brand” golf gears. 3. The competitive pressures from the sellers of substitute product raises from: a. The raising number of counterfeit equipments produced in China, selling online at attractive prices and ship to the world. b. The overall difficulty of the game, time consuming issues and the high golf fees are the three main barriers for recreational golfers.

The current economic crisis had forced many families to cut their spending on leisure activities. As presented in Exhibit 2 of Gamble’s original case, while the participation rate for golf was decreasing, the rate for running and workout at a fitness club showed significant increase of approximately 37% and 50% from 1996 to 2007. On the other hand, in December 2003, six leading brand has created an alliance to against counterfeiters and had recorded some successes with Chinese government’s willingness of taking severe measures against rampant counterfeiting.

Golf, also known as the perfect couple with business, is a challenging sport that suits all age and sex groups. Its ability of improving social networks, expanding business opportunities and harmonise domestic conflicts was perceived by its players. The remaining golfers are more likely to be the core golfers those are loyal to the game. Moreover, various governing bodies had successfully brought golf back into Olympics, starting 2016 Summer Olympics. Thus, the pressures from substitutes are moderate to normal. 4.

The competitive pressures stemming from suppliers bargaining power were quite weak since: a. The clubheads were made by casting houses in Asia, where rarely union power was exercised. The design is owned by those leading brands manufacturers and they are being selective in establishing contracts with surplus offshore casting houses. b. Most brands manufacturers co-develop shafts with suppliers that specializing in shaft design and manufacturing. The collaboration had provided attractive win-win opportunities, but weakens the suppliers’ bargaining power and feasibility. . Both clubheads and shafts suppliers had rarely chance to integrate themselves and become official club manufacturer due to the high entry barriers, as discussed in force No. 2-new entrants. Golf manufactures need to pay more attention to background check to casting houses offshore. It is important to initiate effective controls on production and shipping procedures to prevent suppliers selling the same product on black market. 5. The competitive pressure stemming from creational golfers’ bargaining power were moderate to normal because: a.

Buyers are the end users, in another word, golfers, who purchase the equipment infrequently and in small quantities. b. The manufacturers’ brand reputation and images are important to core golfers. c. Most golfers are very loyal to specific leading brand and has strong believes in its product performances. However, d. The demand was declining due to the number of golfers and total rounds played are declining. e. The USGA and R&A performance regulations had limited and equalized the technological capabilities of different manufacturers.

The competitive pressure stemming from touring professional golfers are strong because their choices have strong influence to core golfers who watches the tournaments. The driving forces analysis The overall golf equipment market is downsizing. There are 3 major driving forces in this industry. Firstly, the regulatory design limitations adopted by USGA and R&A had driven the competitive changes. As a result, some leading brands’ capabilities of developing a sweeter swing were limited. Lower-end manufacturers got opportunities to catch up on technological capabilities and had gained more market shares and made more profits than before.

In addition, it had lowered the overall profit margins in the industry. Secondly, product innovation is another key driving forces. Although the battle on developing the most advanced clubs and balls to the market has never stopped, the battle had been upgraded by calling design innovations within golf’s governing organizations’ regulatory limitations. Thirdly, the whole market trends are to be marketing driven. To play a better market mix such as understanding buyer interests, increasing product differentiations, appropriate pricing and use effective promotion tools is the key task for every manufacturer.

Leading brand like Callaway used heavy TV schedule, plus print and radio for mass advertising in order to bring its Big Bertha Steelhead Plus metalwoods and irons to market (Stogel, 2000). Winning endorsement contracts with top tour professionals improves images of the brand and influences core golfers’ purchasing decision. The above driving forces are inter-related and together influencing this mature industry by making the competitions fiercer than ever. The strategic group map The strategic group map below shows the comparative market positions of selected golf equipment manufacturers using price and design innovations/advancement. Note: Circles are drawn roughly proportional to the total revenues of each manufacturer. ) The map provides some indication of brand positioning in general. It shows that Callaway, Ping and TaylorMade are likely to struggle more with market share competitions. On the other hand, the governing organizations’ regulation driving force will favour strategic groups like Adam and Nike as the design limitation smoothes the differences among their innovation capabilities to the high-end ones. However, this map may not mean much as most of the product brands have their own advantages and have significant market share in some specific golf equipment.

For example, Nike with a very successful record in golf apparel and footwear sales, where it was the second leading golf shoes manufacturers, had never grown to 3 percents market shares of golf clubs. In all, Nike is best positioned in this map with almost no overlapping with another other brands. Key success factors The key factors determine the success of company competing in the golf equipment industry should be closely linked to the industry’s dominant economic characteristics, driving forces and market positions (Thompson, Strickland III and Gamble 2010, p. 92).

There are several factors that could affect the competition, three of them outranked in importance from three different areas. First of all, in regards to product marketing, a well-known and well-respected brand name influences buyers purchasing decision. Therefore, clever advertising using the appropriate media to gain effective contact with the potential buyers is every golf equipment manufacturers’ market focus. Over the years, winning endorsement contract with top touring professionals with respective social image had been approved to be the most effective way of creating and enhancing brand image.

Nike Golf as a late comer was a star in using endorsement contract to improve brand recognition and boost sales. The company has recorded notable success in golf apparel, footwear and ball market since its 1996 endorsement contract with Tiger Wood. (Gamble 2008, C-96) Product innovation capabilities come next in this competition pool. The overall market is still very sensitive to first-to-market new attributes and features to be added on, even though the industry is considered as mature with knowledge-customers.

All leading brands in the industry had put huge amount of resources on R&D and had delivered several remarkable models to market over the years, although Callaway and TaylorMade seem to be more internationally recognised by their innovation power. Thus, there is no overall market leader in innovation, but leading models in different product group (Woods, Irons, Putters, Golf balls & Accessories) for a specific time period. Another key success factor is product distribution related.

As we mentioned before, leading manufactures sell their product mainly through on-course and off-course pro shops and most large pro shops have made variety of brands and models available in stock. The retailers/sales’ preferences will more or less influence buyers’ final decision at point of purchasing. Therefore, the relationship with these retailers is important, especially for brands like TaylorMade-adidas Golf that does not offer consumers the option of purchasing clubs or apparel on its website (Gamble 2008, C-92). Callaway Vs.

TaylorMade-adidas, financially The financial performance of a company is usually a good indicator of how well its competitive strategy works in the market. However, the way of translating and comparing companies’ financial result has never been easy. we take the growth rate as an example by looking at the manufactures’ 2007 total sales revenue, Callaway Golf increased its sales (rounded to the nearest million) by $107M =10% from $1,018M in 2006 to $1,125M in 2007. Callaway’s net income was more than doubled from $23M to $55M during the same time.

That makes the earning per share (EPS) increased from $0. 34 to $ 0. 82. In contrast, TaylorMade-adidas’ net sales experienced a 52M = 6% decrease from 856M its peak 2006 to 804M in 2007. The company’s operating profit has also gone down from 73M to 65M during the same time. It seems that Callaway performed much better than TaylorMade-adidas in 2007. But if we compare the same figures over a 4-year period from 2004 to 2007, Callaway’s increase in net sales was $109M=20%, comparing to TaylorMade-adidas’s 171M=27% increase, the result is obviously different.

Therefore, both Callaway and TaylorMade-adidas had successfully coped the key competitive forces and gained comparatively healthy financial performances between 2004 and 2007, under the given economic condition. In addition, the growth rates for each product category are also different mainly stem from the differences in innovation capabilities and buyers’ perception. From the financial data given in the case study, Callaway Golf was easier to achieve growth in manufacturing woods/drivers and iron clubs, shown 28. 2% and 19% growth during 2004 to 2007.

The company had struggled with its golf sales and was unable to make any positive growth on it. TaylorMade-adidas Golf found it was easier to obtain growth and maintained the market leader position in the driver category as well as hybrid clubs. Although, TaylorMade’s irons have a very wide price range from $600 to $1300 per set, with a total market share of 15. 2%, it had never challenged Callaway’s market lead position in irons. Moreover, TaylorMade-adidas also gained significant sales increases in golf apparel and footwear, shown 107% and 63% during 2004 and 2007. Note: All calculations are based on Exhibit 1, 2, 3, 4, 5, 6 from Gamble’s original case. ) Recommendations In order to improve its competitive position, Callaway should continue invest large amount in R&D to maintain its innovation capability and maintain its leading position in iron sets and putter. It should also spend more efforts on marketing issues such as collecting different customer requirements to help develop new equipments and bring the product line to a wider range that suits every player.

More money should be spent on advertising to improve its image as a full-line golf gear manufacturer. To frequently advertise on selected fashion and life style magazines can not only increase its overall brand recognition, but also boost apparel, footwear and other accessories sales. In addition, it is also important to build good relationship with major retailers. This normally includes higher retail outlets supporting funds, sufficient professional trainings to sales representatives and more sales incentives.

The improvement opportunities are all related to the main driving forces in the industry. This case analysis recommend Callaway to maintain its current strategy of being the market lead in product performance and innovation, but do not shifting its focus to price wars. Similar to Callaway, TaylorMade-adidas should also keep investing in R&D to maintain its leading position in drivers and hybrid clubs. They will also need to spend more dollars on advertising of its market share winning apparel and footwear.

Find another ‘Tiger’ and lock him/her into an endorsement contract like what competitor Nike did before is always a simple but effective idea. Finally, the company will be benefit from 2 ways from offering the customer with the option of purchasing clubs and apparel by visiting its website. One is increase sales and avoid changing of mind when visiting retailers that has several competitive brands available. The other one is to do business with end customers will help the company collect first-hand information regarding the customer needs and product performance feedback.

In all, unlike Callaway who aims to be the all-round manufacturer, TaylorMade-adidas should focus on winning buyers recognition of being specialised in drivers and hybrid club and the No. 1 in golf fashion industry. This analysis recommends Fortune brands to better differentiate its sub-brands and each one’s target market. Their advertising effort should then be separated in regards to different target groups. In addition, the company should also work on cost reduction opportunities in order to cut their prices to be better positioned in the market, its ZB line of iron sets is a good example.

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Competition in the Golf Industry

An Analysis of “Competition in the Golf Industry” It is unknown when the game of golf originated, but it is believed that people began playing in Europe during the middle ages. In the United States, golf was a sport primarily played by the wealthy individuals until tournaments began being televised. Since then, golf has grown to be a very lucrative industry with over 27 million golfers nationwide by the end of the 1990’s. “Competition in the Golf Equipment Industry,” a case study written by John E.

Gamble of the University of South Alabama, is an overview of the problems currently facing major companies in the golf equipment industry: technological limitations (due to golf’s governing organizations), a decline in the number of golfers, and the economic recession, and the threat of counterfeit products. These limitations are causing leading competitors in the golf industry, namely Calloway Golf, to rethink their strategies in 2010. PLAC Analysis for Calloway Golf Ely Reeves Calloway Jr. , Calloway’s original owner, CEO and President, bought a manufacturing company of hickory shaft wedges and putters in 1983.

Calloway, originally restricted to reproducing antique golf clubs, has extended its product breadth across the golf equipment industry. Calloway Golf now encompasses drivers (with the introduction of Big Bertha), putters (with the acquisition of Odyssey), irons (designed to compete against Titleist), golf balls (with the acquisition of Top-Flite), footwear and clothes branding, and GPS units (with the acquisition of UPlay). See Timeline in Appendix 1. Calloway has differentiated itself from its competitors by its innovation, beginning with the success of their driver, Big Bertha, which initiated the technology race among firms.

Calloway and its’ competitors introduce more innovative products every 12-18 months to remain competitive. Furthermore, Calloway has acquired several firms since its origination in 1983 in order to expand its product breadth. Although in 2009, Calloway Golf Company was the “second largest seller of drivers and fairway woods,” revenues have declined by 17% in 2009 compared to the first six months of 2008. Challenges facing this firm will be assessed in the SWOT analysis. SWOT Analysis for the golf industry, Calloway Golf & Recommendations See Appendix 2 for Matrix Strengths:

Calloway’s technological innovation in making a driver that pushed the limits of USGA standards shows motivation to become the best. Marketing to recreational golfers in an attempt to help them enjoy the game more by offering an opportunity to drive 6-10 yards further was a benchmark and pushed Calloway’s product to the best golf product of the century by a two-to-one margin. Calloway’s recognizable name also gives them a competitive edge. Weaknesses: Although these technological advances may have boosted sales, there is still little evidence that these advances help golfers lower their scores.

Another weakness of the industry is sustainability. With the development of new products every 12-18 months, it is crucial that companies market their products and have strong sales shortly after introduction. Also, a weakness with Calloway’s golf balls was their brand image with the acquisition of Top-Flite golf balls, which quickly coined the game “Rock-Flight. ” Opportunities: Although sales have declined 5. 7% during 2008, continued marketing efforts and remaining a household name could prove beneficial to all firms after the recession has subsided.

Due to the recession, discretionary spending has declined and savings has risen, but this could quickly change after a turn in the economy. Furthermore, Calloway has recently cut their endorsements of PGA professionals to only encompass 10 men’s PGA professionals and 5 women. If they expanded these numbers, it would give them more brand exposure and possibly higher revenues since many recreational golfers base their decisions on the type of equipment successful, professional golfers are using. Threats:

There are a number of threats affecting the golf industry as a whole: effects of technological limitations by USGA, a decline in the number of golfers due to the economy and lack of leisure time, and the rise of counterfeiting. The state of the current economy paired with the decline in the number of golfers, has caused companies to focus more on price and volume. Counterfeiting is largely attributable to the decisions by executives to outsource for cheaper labor to manufacturers in China; who can produce a golf club for less than $3 per club. Recommendations

Companies currently operating within the golf industry, specifically Calloway Golf, must change their current marketing approaches and strategies to withstand the recession and threats facing the industry. Although Calloway has a strong R&D department that tends to remain competitive with products and technology, there have been little results in reference to scores. It is imperative that if companies are going to market a product that will help golfers drive further and straighter that the results depict this so that not to damage the brand name of a product.

Secondly, due to the decline in equipment sales and the number of golfers, prices are dropping and companies are outsourcing to maintain the volume needed to remain competitive. Companies must be cautious and aware so that counterfeiting may be reduced. This reduction would also allow companies to reduce their pricing and have more sales without the competition of these cheaply priced knock-offs. In the instance of Calloway, an increase in marketing and endorsements would boost their sales due to brand recognition. Calloway has recently fallen to second place in the amount of sales of drivers.

In aiding in cutting down on counterfeiting, lowering prices, and increasing marketing and endorsements, Calloway may have the opportunity to reposition themselves as number one in the marketplace. Appendix 1 Calloway Timeline 1983- Ely Reeves Calloway, Jr. purchased a 50% interest in a Temecula, California manufacturer and marketer of hickory shafted wedges and putters for $400,000. 1985-Ely Reeves Calloway, Jr. , hired aerospace and metallurgical engineers to design the most technologically advanced golf clubs. 1991- Introduction of Big Bertha 1996- Acquisition of Odyssey (leading brand of putters)

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Carlsberg and phones 4 u Adverts

The advert opens with a truck driver whose truck has broken down knocking on an old woman’s house. “My truck has broken down. May I use the phone?” the truck driver says in a deep but kind voice. “Certainly” reply’s the old woman innocently. As the trucker is on the phone the old women goes and looks out of the window. As she looks out of the window there is a close up of here gasping because of the unpleasant surprise of they’re being a full truck of Carlsberg being exported out of the country. She turns to the trucker who has finished on the phone and innocently says. “Would you like to use the bathroom?”

“Certainly” says the surprised trucker not wanting to sound impolite. The old woman leads him through a door to a giant open trapdoor. As the trucker stares down confused, probably wondering if this is her idea of a toilet, the old woman pushes him down looking considerably less innocent the she did before. The trucker hits the floor with a very fake sounding thud. As the trucker sits up he lights a match. “I thought you where dead” says the now very confused trucker as he sees another trucker who looks like he’d spent at least a few years down there. He is then sat at a table of what seems like a miniature prison for people who betray the woman’s beliefs by trying to export the Carlsberg.

The expression of the trucker is really funny when he sees the trapdoor because he looks so confused. The old woman’s expressions are also funny because she looks and talks innocently to the truck driver but looks mischievous when she looks out the window or pushes him down the trap door. There are very few words said but all the words are spoken in English but with a Danish accent, which makes the peoples voices very comical. The confusion in the truck drivers voice when he fell down the trap door sounds really comical. The innocence of the old woman’s voice is also very funny. There are a minimal amount of sounds in the advert. The only sounds are the creak of all the doors and when the man falls down the trapdoor.

Everything happens quite slowly giving you enough time to see what happens in each shot. Each shot is at least 3 seconds long. This advert succeeds because it is funny that a frail old woman can outwit a burly truck driver. Phones 4 u. The idea of this advert is to show that an old mobile phone can be more embarrassing than really embarrassing situations. The advert opens with a badly dressed golfer trying to hit a golf ball. Instead of hitting the ball, every time he swings the club he rips up a fresh piece of turf. A few normal golfers walk up the hill next to him. But the golfer just carries on ripping up turf, not in the least bit embarrassed. He then spots his unfashionable phone on the floor and suddenly becomes embarrassed. With one swing of the club he whacks the phone into the distance.

It cuts to a blank blue background where a phones 4 u logo comes onto the screen and someone says “ashamed of your mobile…” It goes off and then shows the golfer doing a mad celebration were he pulls his clothes off so he is only wearing a pair of shorts and shoes. He then runs and dives over the lip of a bunker. The way the golfer is not embarrassed about being bad about being very bad at playing golf but being extremely embarrassed about having an unfashionable mobile phone is very bizarre but funny. It is also weird but funny how the golfer celebrates his victory. There are also very few words heard in this advert. The words heard clearly is when the person says “ashamed of your mobile…” and the only other clear word heard is the golfer saying “woohoo” in a mid-air jump over the lip of a bunker at the end of the advert.

The sound effects of the advert (although there are minimal) are very exaggerated, Such as the whoosh of the golf club and the ripping of the turf as he tries to hit the ball. The most exaggerated sound though, has to be the whack of the phone as he hits it, and the whizz of the phone as it fly’s off into the scenery. Each shot is quite lengthy, there is probably only about 10 shots. The first is the shot of the golfer ripping up turf lasting 5 seconds. The second is 3 seconds of some golfers coming up the hill. Then a quick shot of the golfer looking at his phone which should zoom in but doesn’t. Then a shot of the golfer hitting his phone into the distance. A phones 4 u logo then comes onto the screen. And lastly the golfer does his unique celebration for about 5 seconds.

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Manufacturing Processes for Bicycle Frame and Golf Club

Table of contents

Almost every item we use in our everyday life has been manufactured in some way using a series of different techniques. The task set out in this assignment is to look at two everyday objects and discuss the ways in which they have been manufactured and what materials have been used and why these specific manufacturing techniques and materials have been used. We also have to look at other possible techniques and materials that could have been utilized instead and what effect this would have had on the final product.

The two objects that I have decided to investigate are the bicycle frame and the golf club. I have chosen to investigate these two items due to their similarity in materials and manufacturing processes but also their diversity as I will demonstrate in the rest of the report. First I will look at the bicycle frame then the golf club and then finishing with a short conclusion and comparison of the two different objects.

The concept of the bicycle was first conceived in the late 18th century in France where an inventor created a wooden hobby horse known as a Celerifere, which had two wheels connected with a beam . From this idea there have been numerous alterations and improvements to every aspect of the design that have led to the invention of the modern bicycle. These include the materials used (wood – alloys – composites), the structural design and the techniques used to manufacture the frame. The design of the modern frame can be seen in figure 1, with the names of the tubes labelled on the picture.

Modern bicycle frames can be made from a variety of different materials depending on its application. Standard bicycle frames are usually made from some form of metal alloy such as steel, titanium or aluminium. Steel and titanium alloy frames are generally more popular due to their increased strength over aluminium giving them a longer life. Aluminium alloy is an ideal material in applications where weight must be cut down and the loads placed on the frame are not excessive. The particular compositions of metals within the alloy are constantly being altered to improve weight, rigidity and strength. The strength of the material is particularly important in applications such as mountain biking and downhill racing where the frame comes under considerable loads. The structure of the frame also plays a large part in the loads it can take due to the front and rear triangles that distribute the load throughout the entire frame.

In the last two decades the use of composite materials has become more popular, especially in racing bikes due to their increased strength and low weight. These frames are most commonly made with some form of structural fibre such as carbon or glass. Due to the increased strength along the axis of the fibre, single piece frames can be produced giving increased strength in the areas that require it.

Manufacturing Process

Looking primarily at metal alloy frames, there are two main types of tube that can be produced. These are seamless tubes, which are drawn through several stages from a block of metal and the others are known as seamed tubes, which are made from sheet metal rolled into tubes and welded along the length of the tube. Seamless tubes are generally seen as the better alternative due to the fact that they do not have a seam running along their length, which could be a possible stress concentration area.

The process for making seamless tubes is as follows: First the metal alloy to be used is annealed to soften it and then hollowed. Once it has been hollowed it is heated once again and then pickled in acid to remove any oxidation layers and then lubricated to prevent any oxidation after the pickling stage. Secondly the hollow is cut to the right dimensions and mitered, a process of shaping the ends of the hollows to fit the contours of the tube to which it is to be attached to. This process is done simply by sawing off the necessary shape of the fit and then filing it down to a smooth finish. Next the tubes go through a cold drawing process to get them to the right gauge by creating a thinner and longer tube.

The tube can also be ‘butted’, a process that increases the thickness of the tube at the ends due to the increased stresses located at these points and making the tube thinner near the centre as the stresses are smaller at this location. This process decreases the weight and increases the strength of the frame. The final stage in making the tubes is shaping and tapering them depending on which area of the bike they are to be used in.

Once the tubes have all been made, they are joined together to form the frame using either some form of welding if the tubes are made from metal or joined using an adhesive if they are made from composite. The most coming joining method for metal frames is, by far, brazing welding. This process involves placing the tubes together and heating the joints up to create a white flux, cleaning and melting the joint. Next the brazing filler metal is added, usually brass, which melts below the temperature of the joints and flows around them creating an even seal (figure 2).

This process is usually done by a machine but some specialist bike makers will still do this manually. This method of welding is preferred to others, such as MIG and TIG welding, as it can be completed at much lower temperatures and so not adversely affect the properties of the material as it may change its structure at high temperatures (i.e. steel). In some frame constructions welding is not required at all and rather a lug (figure 3) is used to fix the two frames together. This allows for easy bike maintenance and tube replacement with little effect on the rest of the frame, unlike its welded counterpart.

For composite frames, rather than welding the frame together, which would be ineffective, the joints are glued together using a strong adhesive. The adhesives used are capable of sustaining the same force as effectively, if not better, than welded joints.

While the joints are still hot enough, the frame is placed into a jig to ensure that all tubes are aligned properly and if not they are oriented to the right position before the metal cools. The frame is then pickled to remove any excess flux and brazing filler and then grinded for a smooth finish Small alignment changes can still be made once the frame has cooled. Finally the frames are taking to be painted to help protect them from oxidation. First the lubricant used to protect them after pickling is cleaned off and then an undercoat is painted onto the frames. After which, a coloured enamel is painted on either by hand or by passing the frame through an electrostatic painting room where the positively charged paint is attracted to the rotating negatively charged frame. Once the frame is finished it is ready for the rest of the bikes components to be added.

The origins of golf are unclear as many countries had some form of game involving hitting on object with a stick dating as far back as the Roman Empire. Golf as we know it today was popularised in Scotland in the 15th Century where players would use completely wooden clubs to hit a stuffed leather ball. It wasn’t until the introduction of the modern hard rubber golf ball in 1848  that the materials used in the club design were altered. First iron was introduced as a material for club heads, used to strike the ball.

Wooden heads were still used for certain shot types. Wooden shafts were still used despite the head material until the early 20th century when the first steel shafts were introduced. In the following years specialised clubs were developed (i.e. sand wedge) and in 1970’s the first composite shafts made from high strength materials were introduced but did not gain popularity straight away due to their apparent decrease in stiffness resulting in flexing. Developments into composite shafts have made them a popular alternative to steel shafts due to their light weight and strength.

The materials used to manufacture a golf club vary widely depending on the part that is being made such as the grip, shaft and head. The grips can be made of either a moulded synthetic rubber or bound leather, materials with a high coefficient of friction preventing slip. The shaft material can sometimes depend on the application of the club (driver, putter etc.) and are generally made from a stainless steel, titanium or aluminium for metal frames and a carbon/boron fibre reinforced epoxy.

The material used for the golf heads can depend a lot on the type of club that it is. For wood type clubs the most popular materials to use are similar to those used for the shafts; stainless steel, titanium and carbon fibre epoxy. Oversized wood heads are often filled with synthetic foam so that the weight is similar to a smaller headed club. It is still possible to purchase wooden heads for the club but these are generally more for aesthetic and traditional purposes than for performance. Irons and wedges generally have heads made from stainless steel, titanium, tungsten, beryllium nickel/copper or a combination of these materials. Putters can be made from a lighter, weaker material such as aluminium due to the low impact forces that they sustain as they travel at slower velocities.

Manufacturing Process

As mentioned previously there are three components to the golf club, the grip, shaft and head. Each can be made using a variety of techniques that depend on the material being used and the preference of the manufacturer. The synthetic rubber grips are made by placing the end of the shaft into a hollow die, the required shape of the grip, and injecting the rubber into the hollow. The mould is then left to harden and the shaft is removed from the mould.

Depending on the material the shafts can be created in numerous ways. If the shafts are made from steel or stainless steel then they will be made by a process known as tube drawing. There are several different methods for this process such as rod drawing, fixed mandrel drawing and tube sinking. As these methods are closely related I will only look at the situation where the shafts are made via tube sinking. This process involves pulling the tube part way through a die that has a slightly smaller inner diameter than the tube, causing the tube to neck down in diameter.

This is down several times with smaller lengths of the tube. This process helps to reduce the weight of the shaft and increase its strength in the areas of greatest stress (i.e. the shaft/head connection). If the tube is made from a carbon fibre composite a different process can be used. The most common is known as pultrusion where the carbon fibres are fed through a heated die with epoxy resin being fed through at the same time (figure 5). The resin hardens under the heat and forms the shaft. The composite shaft does not need to be necked during its manufacture.

The metal club heads are made by a process called investment casting. A die, often made of rubber or metal, is made in two separate halves and has a hollow in the shape of the part to be moulded to allow easy removal once the mould has hardened. Wax is injected into the mould and left to harden. The mould is removed and the process is repeated several times until a collection of moulds have been produced. These moulds are then placed on the stem of a ‘tree’ known as a sprue.

The sprue is then invested with liquid slurry and coated in a ceramic powder and left to dry. This process is repeated until the coat is roughly 5-10mm thick. The investment is then placed in a furnace at about 550 – 1100 oC to melt the wax, which is allowed to flow out of an opening in the bottom of the cast. The cast is then fired and preheated and then inverted to allow the molten metal to be poured into the opening of the cast. Once the metal has cooled and hardened the ceramic shell is broken apart and the heads are removed from the tree. The heads are then finished with a heat treatment to harden the surface of the material and then grinded and polished for a clean surface finish.

Another possible method of creating the heads is to heat up a stock piece of metal and forge it in a die to produce the part needed (figure 6). The advantage to this method is an increase in strength as the grains follow the flow of the component rather than being broken up due to casting and machining. The disadvantages of this method can be a poor surface finish and the component will usually have to go through several finishing stages to get the finished piece.

Once all the parts have been made the shaft needs to be connected to the head. This can be done by a variety of methods such as creating a thread on the end of the shaft and a thread socket in a short tubular protrusion on the head and screwing them together. Another method is to place the shaft into the head socket and drill a hole through both tubes and inserting a metal pin, set with an epoxy resin. If the shaft is made from a carbon fibre composite it is connected to the head using an adhesive, with the advancements in adhesive technologies it is now possible to use an adhesive to bond metal shafts to the heads. The final stage is to check the surface for any blemishes, removing them, and then giving the surface a final polish.

Conclusion

The two most similar components of the two items are the tubes of the bike frame and the shaft of the golf club. Both these components are made from the same general materials such as steel, titanium, aluminium and carbon fibre composite but utilize different methods in their construction. While the bike frame tubes are made from hollowing out lengths of metal and then cold drawing them to achieve the right gauge, golf club shafts are made directly from another method of tube drawing known as tube sinking where the tube is drawing through a die with decreasing diameter, creating a necked tube. Although these methods could be interchanged with each other they usually stick with their own methods as they give the best properties to the components.

A similarity in connecting the parts together in both examples was found with the use of an adhesive to bond the carbon fibre tubes of the bike frame and even the metal shaft of the golf club with the head. Although this method could also be implemented with the metal bike frame the common method of joining is still blaze welding as its seen as the most economic method to use.

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Global Golf Cart Market

Golf carts are used by golfers to carry heavy golf clubs and equipment. They are also used for dally commuting needs over short distances. Golf carts are usually gasoline- powered or electric, but recently solar-powered golf carts have also been developed. Electric golf carts have more preference among consumers. The global economic recession of 2008-2009 had a negative Impact on golf, which subsequently Impacted the Golf Cart and Golf Equipment market worldwide.

The economic recession impacted consumer preference due to financial instability and, hence, participation In golf declined. Since the economic recession, a subtle change has been observed In consumers’ choices, and there is renewed interest in golf. Covered in this Report This report covers the present scenario and the growth prospects of the Global Golf Cart market for the period 2015-2019. The market considers two types of golf cart: gasoline and electric.

The report presents the vendor landscape and a corresponding detailed analysis of the leading vendors In the market. In addition, It discusses the major drivers that influence the growth of the Global Golf Cart market. It also outlines the challenges faced by the market, as well as the key trends that are emerging in the market. View our full TCO here Key Regions MEME OPAC Americas Key Vendors Columbia Appear Corp.. Engineers Rand ply Textron Inc. Yamaha Golf Cars Other Prominent Vendors Auto Power sidecar Electric Vehicles

Dungeon Excellence Golf & Sightseeing Car Garcia Melee Electrolysis’s Polaris Industries Sheehan Marshall Green Power Speedways Electric Ouzos Eagle Electric Vehicle Manufacturing Ouzos Falcon Electric Vehicle Manufacturing Volume Engineering Aisha E-Way Electrical Industry Aisha Tuition Electronic & Technological Key Market Driver Increase in disposable income of consumers For a full, detailed list, view our report. Key Market Challenge Lack of infrastructure facilities for charging

Key Market Trend Consumer’s lifestyle changes Key Questions Answered in this Report What will the market size be in 2018 and what will the growth rate be? What are the key market trends? What is driving this market? What are the challenges to market growth? Who are the key vendors in this market space? What are the market opportunities and threats faced by the key vendors? What are the strengths and weaknesses of the key vendors? For more insights, view our Global Golf Cart Market 2015-2019 report.

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Callaway Golf Company- Manufacturing Inventory

Answers to Case

a. The costs expected to be in the raw materials inventory are costs of materials such as wood, iron, plastic, and/or optic fiber that have yet to be placed in production. The costs expected to be in the work in process inventory are the cost of materials placed in production plus the labor and allocated overhead utilized so far. The costs expected to be in the finished goods inventory are the materials, labor, and allocated overhead incurred to make the finished products on hand.

b. Inventories are net of an estimated allowance for obsolete or unmarketable inventory.

c. i. The Reserve for obsolete inventories’ account does not appear on Callaway’s financial statements because it has already been subtracted off the inventory account. The gross amount of inventory at the end of 2006 is $247,795. 00, and at the end of 2007 is $232,872. 00 Of the $20,129. 00 of the reserve for obsolete inventory, $6,537. 90, is attributable to raw materials inventory, 154. 99 is attributable to work-in-process inventory, and $13,436. 11 to finished goods inventory.

d. JE to record activity in reserve for obsolete inventory during 2007 (in thousands)

Cost of Sales $ 12,182. 00

Provision for obsolete inventory 12,182. 00

Provision for obsolete inventory 9,368. 00

Inventory 9,368. 00

e. i. The cost of finished goods sold in 2007 was $619,186. 00 The cost of finished goods transferred from work-in-process in 2007 was $247,109

iii. The cost of raw materials transferred to work-in-process in 2007 was $90,982. 00 The cost of raw materials purchased during 2007 was $87,369. 00

v. The amount of cash disbursed for raw-material purchases during 2007 was $54,350. 00. ($95,297. 00-$40,947. 00)

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