1. You have been hired to design the distribution network for Chips that will allow itto operate in both the "brick-and-mortar" and "click-and-mortar" markets. Your recommendations should address both the start-up of the Web operations as well as its ongoing operations. Chips has asked you to determine the following: • The pros and cons of using an integrated versus a dedicated network; • Whether or not the Internet warehousing and/or the store warehousing should be outsourced; • The feasibility of using store fulfillment or flow-through fulfillment to complement warehouse fulfillment; and • The mechanics of implementing a "free shipping" policy. 2. You have also been asked to investigate the pros and cons of using an established Internet fulfillment house not only to host the Chips Web site but also to house the inventory and perform the shipping. Companies like Amazon perform these services for other companies. What would your recommendation be for using a company like Amazon to run Chips' online business? Requirements ::::Briefly touch on the following  The fundamental reasons for success, with a comparison to another successful and an unsuccessful company?  How does the company maintain its competitive advantage, here the concept of sustainability may again be of interest?  Is the company's formula for success suitable for other companies and if so explain why, if not explain why?  What Supply chain challenges does the company face when dealing with demand fluctuations and comment on how the supply chain investments support its overall customer service and resources utilisation objectives?  What prerequisites are important for the operation of the lean systems that are in place?  Incorporation of the 4 case study questions is also required.