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Palette Studio Case Study

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CHAPTER 3
Technology and Operations Viability
In order for The Palette Studio to produce durable and high quality goods, the company must look for workers that are highly skilled. Also, the use of machineries, particularly sewing machines are necessary to produce 1 bag. The company’s process selection was discovered to be job shop since The Palette Studio releases moderate number of bags, the machineries and equipments used are specialized and the workers are skilled in using these equipments.
By the use of technology, The Palette Studio conducts research in order to find new features of their product, to find out what's the best material for the products they make and it gives ideas of what are the new products the venture can offer to its …show more content…
In able for the brand to build a product that will answer the problems of their target market and to provide a product that the market will like, the venture conducts a survey to know what the market needs and their qualifications when it comes to a certain product. After disseminating the survey to the focused market group, The palette studio always reassures that they gather and analyze the data carefully and sensible enough to reconsider the market’s answers. Applying the brand’s theme, The Palette Studio will start innovating and re-creating a product that is agreeable to the market. After which, the team will re-evaluate the product design and make sure everything from color, size, design is perfect. As soon as the product design is approved, the company will set an appointment with the manufacturer. The Palette studio and the manufacturer will meet on the set date so they can talk about the details and production of the bag. If the manufacturer accepted the order, a date will be agreed upon on when the manufacturer and the brand can talk about the design of the products and most importantly to negotiate about the cost of production of the products. The Palette Studio will describe the product design in full details to the manufacturer. The company will tell how the product should look like and what kind of materials should be used. …show more content…
From the company's first prototype, the company discovered that the labor will cost Php 72 per bag, the raw materials will cost Php 219.15 per bag and the production cost will cost Php 178.50 per bag. Assuming that 50 bags will be produced on their first collection, the labor will amount to Php 3,600, the raw materials will cost them Php 10,957.5 and the production cost will be at Php 8,790. The venture estimated that the licenses and registration fee will cost them Php 11,000, the advertising and promotions cost will be at Php 10,000, and the packaging for the bags will cost them Pho 2,500. The company's website design was discovered to be at Php 8,928. This covers the monthly subscription fee worth Php 624, the monthly payment for the domain name which cost Php 624 and the payment for the theme design which amounted to Php 7,680. Also, it was determined that the payment for the internet connection will cost Php

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