Andover Business Club

During our first meeting of Winter term, we discussed Peloton and exercise programs like Soulcycle and Barry's Bootcamp. We talk about how: Peloton produces high-end stationary bikes with a huge built-in screen. These bikes sell for $2000 and with a monthly subscription of $39 to access exercise videos.  Each of Peloton's customers is valued at $15,631. That's a whopping 2286% more than the subscriber values of all companies such as Match, Netflix, Facebook, and Spotify. Meanwhile, Peloton's value as a company is 8.8 billion, lower than all those companies. Peloton also claims it's a "tech"company, a fancy label employed by many companies. We do not believe Peloton is a real tech company, since it cannot collect the degree of data companies like Facebook and Google can collect. Furthermore, similar to Uber's issue, Peloton's business relies on a buyer and manufacturer relationship which can drive up developmental costs.  Fitne...

Welcome to winter   ABC , We will have our first meeting of the term   tonight at 6:30 PM in SamPhil room 102 . This is the same room as fall term. Secondly, thank you to all those who turned in Board Apps. They are under review by the current board. The planned topic for this week is   Peloton’s   business model   and the economics of workouts like   Soulcycle   or   Barry’s Bootcamp . Nevertheless, if you have a topic of interest, please don’t hesitate to bring it up at the meeting. See you tonight, The Board

During our final meeting of the term, one member brought up Google's acquisition of Fitbit as a discussion topic. Here's what we discovered: Google bought Fitbit for 2.1 billion dollars An attempt by Google to break into the wearable tech market Do you think the wearable tech market has room to grow? We think yes.  Google may use Fitbit to help build an android-integrated platform , playing a similar role the Apple Watch plays in the iOS platform Google's engineers and access to data could help Fitbit become even more advanced Finally, acquiring Fitbit means Google instantly acquires a 27 million active users versus starting their own line of fitness gear.  This is oftentimes a strategic moves for large companies, as markets become increasingly difficult to break in. How will Google use Fitbit to elevate itself and improve the fitness tech?

Good morning ABC, We will have our final meeting of the term tonight   @6:30 PM in Sam Phil room 102 .   Firstly,   BLUBOXES DAY WILL BE NEXT TUESDAY DURING DINNER . I talked briefly with Mr. Capano who said the student activities office will be very busy this upcoming week due to A/E shirt sales + bus logistics. Please sign up for a slot using this link: https://docs.google.com/spreadsheets/d/1SeFzDHiegCBa5edCwwC_U78joLTUGzIhsDPeCQ115GM/edit?usp=sharing For our final meeting of this term, the discussion topic will be up to you guys. The board has some planned topics, such as the   military+government+business   ethics discussion as well as a discussion about   MARVEL’S   success as movie makers and why they’ve managed to be so successful in the past decade. However…since this is the last meeting of the term, please bring some topics of interest to you. We can even discuss multiple topics of interest so please come with ideas! Even i...

We had an awesome discussion about Uber , the economics of it and imminent profit problems. For the recap… What is Uber? Uber is a company that has added technology and revolutionized the taxi industry. They also have Uber Eats, a subsidiary. Important things about Uber: Uber treats its drivers not as "employees" but as independent contractors , saving Uber around $4 billion dollars annually from having to pay for employee benefits like health care.  Uber uses an algorithm that factors in distance, demand, time, traffic etc. into calculating their prices for rides. In general, this algorithm makes Uber cheaper than taxis, but during rush hour for example, taxis may actually win.  96% of Uber drivers quit after their first year…but this doesn't impact Uber because they don't treat their drivers as employers through interviews, tests for special skills etc. In other words, drivers are just drivers for Uber…they are indispensable.  Hallmark of a tech ...

Good morning ABC, We will be meeting tonight at   6:30 PM in Sam Phil room 102   per usual! We will nail on a date for   BluBoxes Day . Then we will form teams to execute the plan before the end of this term. Topic : There are a variety of things we can talk about, so come with more ideas if you have them. We will vote at the beginning of the meeting on a topic. The board currently has two topics planned: a   military   tied with business ethics   discussion and a discussion about   Uber’s profit problems . Please feel free to bring more ideas you’d like to talk about! If you missed last weeks meeting, here’s the recap: https://andoverbusinessclub.blogspot.com/2019/10/m05-recap.html See you tonight, The Board

For those of you who missed last week's meeting, no worries! Here's the recap: We revisited the Boba Tea Sale stats. Gross Profit Margins = (net revenue - COGS)/ net revenue GPM for Boba = 71% What went well for Boba: Getting the equipment/coordinating with administrators on campus Coordinating teams to execute various branches of the venture Asking house counselors for supplies and coordinating in advance.  Areas of improvement: Getting more involvement! Get more advertising in advance (get people hyped, rather than surprised) We talked about the opioid crisis Drug companies providing incentives to doctors to prescribe the drug People get hooked Business ethics? Is it on the doctors to control prescriptions or are businesses somewhat guilty to produce a drug they know people will become addicted to quickly? Be on the lookout for a BluBoxes plan!