Land pakdo mera

1. Electronic Ink Project
Group #1
Judith Marcelo Alex Balcells Fernando López
Tomás Núñez Cristian Lueg Jorge Román
Joaquim Lizondo
Prof. L.G. Cooper
Product Management in The Digital Economy
Anderson School
March 2002

2. Agenda
 Electronic Ink Overview
 The Company. Gyricon Media Inc.
 The Market: Retail Signage Market
 Bayesian Network
 Sensitivity Analysis
 Recommendation
 Q & A

3. Electronic Ink Overview
 Conceptualized in the 70s.
 Revived in the early 90s.
 Material that is processed into a film for
integration into electronic displays - e.g. sign
labels, PDA, cellular phone, e-book reader.

4. Beads Film
Voltage
E-paper
Electronic Ink Overview

5. The Company - Gyricon
 Group that started the concept at Xerox PARC.
 Spinned off from Xerox in 2000
 Headquartered at Palo Alto, California with office
in Massachusetts; same backyard of its only
competitor - E-Ink Corporation.

6. The Retail Signage Market
 Point of purchase is an integral element in the
advertising arsenal
 Each week Target delivers 3 planeloads of signs
from the company’s production center
 Spends $250,000 per week on changing signs
 Home Depot carries 5 million sku’s; 14,000 of
these items change prices on any given day.
 Fines are served for violations of the state's
item-pricing laws.

7. The Retail Signage Market

8. The Projected Key Benefits
 Cost savings in labor, materials, logistics and price
accuracy fines
 Price Integrity
 Positive Customer Response
 More effective promotions
 Dynamic pricing

9. The Retail Signage Market
Bowling Strategy
Cell phone
Wireless
Traffic Signage E-book reader
PDA
Retail Signage
Airports,
train stations..
Energy c. +
Flexibility =
Price ++
Legibility ++
Color -
Video --
Energy c. +++
Flexibility ++
Price ++
Legibility ++
Color +
Video --
Energy c. +
Flexibility =
Price +
Legibility ++
Color -
Video --
Energy c. +
Flexibility ++
Price ++
Legibility ++
Color -
Video --

10. Bayesian Network
Bayesian Network slide (E-INK PROJECT). UCLA, March 2002

11. Bayesian Network’s Major Parts
Bayesian Network’s parts slide (E-INK PROJECT). UCLA, March 2002
S u c c e s s E -in k fo r R S M
S tra te g ic P a rtn e rs h ip
E n d U s e r Ac c e p ta n c e
T e c h n o lo g y T h re a t
Va lu e
C o m p a n y T h re a t (G yric o n )

12. Strategic Partnership
Strategic Partnership slide (E-INK PROJECT). UCLA, March 2002

13. End User Acceptance
End User Acceptance slide (E-INK PROJECT) E-ink Project. UCLA, March 2002

14. Technology Threat
Technology Threat slide (E-INK PROJECT). UCLA, March 2002

15. Company Threat
Company Threat slide (E-INK PROJECT). UCLA, March 2002

16. Results
Success of Ink in RSM
State Probability
Big Win 48%
Small Win 27%
Loss 23%

17. Results
Strategic Partnership
State Probability
Design Win 65%
Small Win 35%
End User Acceptance
State Probability
Win Likely 78%
Win Unlikely 22%
Technology Threat
State Probability
Low 78%
High 22%
Company Threat
State Probability
Low 82%
High 18%

18. Sensitivity Analysis
Original Strategic End User Technology Company
Scenario Partnership Acceptance Threat Threat
BigWin 48% 75% 62% 50% 50%
Little Win 27% 17% 21% 28% 28%
Loss 23% 8% 17% 22% 22%
Best Scenarios

19. Sensitivity Analysis
Original Strategic End User Technology Company
Scenario Partnership Acceptance Threat Threat
BigWin 48% 38% 32% 47% 47%
Little Win 27% 31% 35% 26% 26%
Loss 23% 31% 33% 27% 27%
50/50 Scenario

20. Recommendation
• Speed up the development of the electronic ink
technology together with the partners.
• Move rapidly in the Retail Signage Market.
• Be on the watch out for other competitors.
• Develop and attract more investors to the business.

21. Thank You!