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Proposal

To acquire a Road Bike for various recreational purposes

The Road Bike in question:


2005 Fuji Professional

This is a used Fuji Professional 54cm road bike which is in great condition.
All the components are Shimano Dura-Ace except for the headset and
brakes, which are FSA and Shimano Ultegra respectively.

-Ritchey Stem / Handle bars

-Carbon seat post

-Fuji Saddle

-Dura Ace rear / front derailleur, Crankset and Shifters 10 Speed

-Frame: Aluminum X factor, Aerodynamic

-Fork: Carbon Aerodynamic

-Headset: FSA

-Brakes: Ultegra

-Wheels: Ritchey Pro

Why This Bike?

This bike sports an Dura-Ace Group Set (a Group Set, or Gruppo,


generally refers to all of the components that make up a bicycle excluding
the bicycle frame, forks, stem, wheels, tires, and rider contact points, such
as the saddle and handlebars), which is the best Gruppo made by Shimano,
and arguably the best in the world. The brake is the part of the Ultegra
Gruppo, which is Shimano’s second best Gruppo and is very suitable for
riding. This bike has a Carbon fork AND seat post. Carbon is the “hottest
thing” it’s the “sexiest” material you can get. Aside from being sexy, it gives
you a wonderful stiffness and is light, making it a very good material to use.
The frame is made out of Aluminum, while not being as stiff and light as
carbon, is a very good choice for a beginner. Aluminum is very durable and is
a good platform to start from. The frame size is perfect for growth, fitting
anyone from 5’ 3” to 5’ 8”. Fuji is known for their quality, supplying the Fuji-
Servetto team with bikes last season, and supplying Footon-Servetto-Fuji
with bikes this current season.

Pricing and Payment and Feelings


About This Whole Thing
The bike is priced at $1000, but can certainly be negotiated to a lower price.
I am proposing to pay a majority share of the price, but am asking for
you to subsidize the purchase. Since last time I tried to “negotiate” the
price of a bike, I have realized four things. I have reason to believe that
you either think this bike/cycling “thing” still is a “phase,” are in
denial, hoped I would “forget,” about acquiring a bike, or “just don’t
want” me to acquire a bike.

Please Examine Figure 1.1

Shared Subsidy Chart

Price Of Bike Percentage You Price You Pay Percentage I Price I Pay
Pay Pay

$1000 45% $450 55% $550

$950 40% $380 60% $620

$900 40% $360 60% $640

$850 33.333% $283.33 66.666% $566.66

$800 33.333% $266.4 66.666% $533.6

$750 30% $225 70% $525

$700 25% $175 75% $525

Did You Examine Figure 1.1?

The purpose of Figure 1.1 was to show the subsidy you would be providing
is very reasonable and the amount of the subsidy goes down as price
decreases. When I saw your “disapproval” of my “negations,” I decided that
an incentive-based pricing scale will work better.

You have a stake in this “venture.” The lower price


you negotiate, the lower you pay. It’s that simple. I have decided that this is
a very fair way to conduct this transaction, as it is extremely
unreasonable to assume that I have the financial means to cover
$1000, let alone a “cheap” $500 bike. At the rate I’m being paid (Twenty
Dollars a month), it will take more than 4 years to amass
enough money to buy this bike at listed price. Let’s assume I’m buying a
lower-end “cheap” bike. It would take 2.5 years to buy a $600 bike.
Let’s Examine Figure 1.2

Price Of Bike Amount Of Time Required To Afford Bike

$1000 1520 Days – Little Over 4 Years

$950 1445 Days – About 4 Years

$900 1369 Days – 3 ¾ Years

$850 1793 Days – 3 ½ Years

$800 1217 Days – 3 1/3 Years

$750 1140 Days – Little Over 3 Years

Did You Examine Figure 1.2?

Let’s Go Over Figure 1.2!

Figure 1.2 shows an incredibly simplified and unrealistic


projection on the time it would take to save for a bike of a certain costs.
The reasons why it is unrealistic, is that it doesn’t account for any
discretionary spending, instead it assumes all money is going toward the
bike. If you think about this, it makes absolutely no sense. If I started
saving today (I’m not a “Let’s deplete our savings” kind of guy), it would take
me 4 years to afford the bike. In 4 years, the bike would look like a really
bad buy, it would be old, AND wouldn’t be on the market. This is why
subsidies make sense, it is a way for me to obtain what is outlined in this
proposal, and it keeps things from being too unreasonable.

My Payment Plan

One question I know you have in your head right now, is “How is he
going to pay his share of the price after subsides?” Well, I have been
planning getting a bike for a long time (6-7 months now) and have
allocated money that I have received from relatives in Taiwan, and all my
cash that I have on person.

Please Examine Figure 1.3

Money Allocation-It doesn’t grow on trees.


Price Of Bike Subsidized Bike Money Taken Money Taken Out-
Price From Savings Of Pocket

$1000 $550 $450 $100 (85%)

$950 $620 $500 $120 (100%)

$900 $566.666 $500 $66.666 (50%)

$850 $533.6 $475 $58.3 (50%)

$800 $525 $450 $75 (65%)

$750 $525 $450 $75 (65%)

Final Notes
Had I had my way, I would have opted for a 60/40 price split in all
situations. 40% Me, 60% you. But I doubt you would have agreed to it, so I
decided to put the current system into place. Also, consider this my birthday
present. Except that, depending on the seller I may have to invest in road
pedals and shoes. If so, I will make a new proposal.
Special Thanks To:

Ms.Zoref. My LA teacher. Logos,Pathos, and Ethos really helped.

Xianglong Ni, for proofreading this, and helping me with this whole process.

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