Investor ReportTable of ContentsExecutive SummaryObjectiveDemographicsReal EstateEquipmentMaterialsHuman ResourcesMATERIALS:COST in Dollars:COST in Euros:Investor ReportPrepared for: Dr. Laura LambdinPrepared by:Colby Skoog, President and CEOThomas Fisher, Vice President and HR DirectorDeon Green, Marketing ExecutiveJordan Marturano, Real Estate Project ManagerMcneil Bellamy, Production ManagerDana Reilley, Chief Operations OfficerDecember, 3rd 2012Semester: Fall 20121October 17, 2012Inga Rothsten1400 Pendleton StreetCologne, Germany Dear Frau Rothsten:What would you do if your bike was stolen from you? Rather, what would yoube unable to do? You couldn’t travel to work, take care of your family, or even go to the food store. Your life would certainly be disrupted and the loss of your transportation would be detrimental to yourself and your family. We depend on our bikes here in Germany as the most popular form of transportation; bikes are crucial to the daily lives of most Germans. Entire families depend on their bicycles for all of their daily travels and functions. Unfortunately, bike theft has become the largest form of crime in Germany and it is only worsening. Bike Track Incorporated has developed the tools and technology to protect the German people from bike theft and to ensure a safe and secure way to maintain their form of transportation. Through a GPS tracking device, Bike Track can locate stolen bikes as well as communicate with clients and police forces.By investing in Bike Track you can actualize a revolutionary way to keep the German people and their daily lives secure and safe from bike theft. As a culture that depends on order and security almost as much as they depend on bicycling, the German population is in serious need of Bike Track and the services we can offer them. Success in this market is undeniable, and an investment in Bike Track is one that you will absolutely be glad to make. Sincerely,2DeonDeon Green, Marketing ExecutiveTable of ContentsExecutiveSummary ...................................................................................4 Demographics ............................................................................................5Locations and Real Estate ..................................................................... 103Equipment and Materials ........................................................................18 Human Resources China ........................................................................27 Human Resources: Germany ..................................................................34 4Executive SummaryObjectiveThe Bike Track GPS tracking chip is a product that allows a customer to locate their bicycle when it is stolen or lost. The chip, after installed on the bicycle, will be located by our GPS system, viewed on the customer’s smartphone or computer, and, if reported, it will be located and retrieved by local authorities.DemographicsBike Track will utilize the country of Germany to sell its product because Germans are dependent on bicycles and consistently battle bike theft. Women between the ages of 20 and 60 will be our prime consumer as they are active, aware of their security and they will secure bicycles for their families and children. Real EstateChina’s factory town of Longhua, China is the perfect industrial center to place our production facility and manufacture the chips. Bike Track’s distribution center and offices will be located in Berlin, a central, highly travelled and influential German city. EquipmentThe GPS chip itself will be produced in China, leaving Bike Track’ to handle the office supplies and furnishings. All of these will be produced by and purchased from C&H Distributors, a reliable and reasonable furnishing company. MaterialsThe materials necessary to producing Bike Track’s product will consist of the GPS chip, the GPS software and computer system, adhesives and packaging. Seeing that the GPS chip will be purchased from Chinese manufacturers, Bike Track has chosen to purchase its software, adhesives and packaging from similar Chinese companies; this allows the full production of the Bike Track Tracking Chip to take place in China before being shipped to Germany. Human ResourcesAt Bike Track, we are committed to hiring and training the best candidates for our company. In doing so, we abide by the labor laws of both Germany and China. We recognize that each employee of our company is a valuable asset and will be treated as such. 5Demographics: Why Germany Is a Perfect FitGermany is, undeniably, a bicycle dependent country; 30% of Germans use bicycles as a form of daily transportation, and 86% of Germans use bicycles for periodic use. Bicycling, historically and currently, serves as a crucial pieceof German culture and customs. Bike Track realizes that many women, both working and domestic, care for themselves as well as their children and families. In this sense, women between the ages of 20 and 60 are responsible for providing and protecting the bicycles owned by their family members; therefore, these middle aged women are BikeTrack’s primary demographic target population.6As the country’s economy maintains its strength in the European Union, Germans have continued to prosper and demonstrate their economic stability and power. However, many rural regions in eastern Germany are stillstruggling economically, as a result of the old communist rule of the German Democratic Republic. Since the german reunification, some rural towns of eastern Germany have still struggled with developing within the free market,resulting in many low-income areas. This results in a higher rate of theft, specifically, bike theft. Additionally, many eastern German citizens become frustrated with their poor and less developed countries to the east, such as Romania, Czech, Slovakia and Belarus; This is due to the rising influx of refugees who enter Germany from the east border primarily to beg or steal. Averaging at about 500 euros, bikes are easy and lucrative to steal from German towns and cities. There has been a rise in this type of bike theft in eastern Germany, creating great distress from german societies and victims. Consequently, Bike Track has chosen east Germany to market the Bike Track GPS tracking system to. The following demographic information will provide more insight and reason as to why Bike Track has chosen to market to middle aged east german women. Demographics of