2.Company description
In chapter 2, the company will be described. The chapter is subdivided into three parts. The first general company information will be given. The second products of company will be described. Then the current company situation is summarized.
2.1) General company information
In the following, the company will be explained. To start out, Thai Beverage Public Company Limited was established in 2003 by Mr. Charoen Sirivadhanabhakdi to consolidate a number of leading spirits and beer business in Thailand belonging to founding shareholders and other investors. In 2006, ThaiBev registered on the Singapore Stock Exchange (SGX), and subsequently expanded to the non-alcoholic beverage and food sectors to diversify its product
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This is based on the fact that having too much capital implies inefficiency, where as too little cash in hand indicates that the survival of the company is shaky. Most businesses do not hold the right amount of stock, debtors and cash. Due to this reason the firm is unable to meet its maturing short-term obligations and its upcoming operational needs. Lack of adequate working capital also means that a company is unable to undertake expansion projects and increase its sales, therefore limiting the growth and profitability of the businesses. Thai Beverage Public Company Limited is one of largest companies in Thailand, which is ranked up to 10 largest companies by market cap in SGX. Thus, there are many investors who are interested in ThaiBev. However, the investors also need to know the financial KPI analysis in order to make decision in investment in ThaiBev. One of the important KPI is Working Capital Management. This comes the main research question: “ Does Thai Beverage Public Company Limited have the efficiency in working capital management?” But in order to answer this main question, a detailed research has to be implemented. Therefore, this study attempts to answer the following sub-questions:
1. Does Thai Beverage have the efficiency in managing inventories?
2. Does Thai Beverage have the efficiency in managing receivables?
3. Does Thai Beverage have the efficiency in managing cash?
4. Does Thai Beverage have the efficiency in managing trade payables?
These sub-questions will be analyzed and answered whether Thai Beverage Public Company Limited have the efficiency in working capital management.
3.2) Research aim
The aim of the study is to analyze the efficiency of working capital management in Thai Beverage Public Company Limited.
3.3) Research
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