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DEPARTMENT OF ACCOUNTANCY
UNIVERSITY OF ILLINOIS
MEMORANDUM

TO: Jen Kluger and Suzie Orol
FROM: Casey Megan, Yi Wang, Andrew Juhnke, Sida Pan
DATE: September 21, 2015
SUBJECT: Foxy Originals Memorandum

INTRODUCTION
Foxy Originals has proposed the challenge of identifying the optimal method for expansion from the Canadian fashion market into the United States fashion market. Both hiring sales representatives and attending trade shows provide promising opportunities to enter the U.S. market, and by conducting a CVP analysis the best choice can be easily identified.
MISSION OF FOXY ORIGINALS
Foxy Originals has two primary missions. First, they aim to provide high-quality products to all customers. The co-founders of Foxy Originals, Jen Kluger and Suzie Orol, believe that life should be fun, bright and full of excitement. They also create their unique jewelry based on this belief, to help women sparkle and shine without breaking the bank. Second, the mission of a company's founder is always making a profit for the company. Only by making a profit can they keep the company operating in good condition so that they can provide high-quality products and service to their customers constantly. By entering the U.S. market, Kluger and Orol hope to avoid market saturation in Canada while bringing their product to more customers.
ADVANTAGES/DISADVANTAGES OF PERSONAL ATTENDANCE
Attending shows personally has unique advantages over hiring sales representative. First, there will be no agent problem. If they choose not to hire a sales representative, they don’t need to worry whether the representative devotes all his effort to help company to be accepted by retailers and whether the representative is working for the company or himself. Second, if co-founders can attend shows personally, they will have a clearer view about the position their

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