4. Based on the business nature of the company, the industry, and the current environment, what would you recommend doing?

Boca Electronics, a manufacturer of semiconductor components was established in Houston, Texas in 2002 after spinning off its parent company. Originally a branch of Vissay Inc., Boca Electronics had a solid customer base and strong sales with some major firms such as IBM, Compaq and Motorola. Semiconductors included a wide array of products that were broken down according to their application and material. Some of their main products include microprocessors, light-emitting diodes (LEDs), rectifiers, and suppressors. Boca Electronics operated on a mainframe system that it inherited from its parent company, and used additional stand-alone systems to perform many of its other business functions. For the last four years the company had performed well financially, so little concern had been given to the business operations. However, recent slowdowns in the economy and an increase in competition in the semiconductor industry had forced Boca Electronics to take another look at the way it operated its business.