As a business in a competitive market we must be able to determine what may assist us to accomplish our objectives? What obstacles we must overcome or minimise to achieve our desired results? To achieve this we must carry out a strategic plan, which is a straightforward model known as a SWOT analysis (strengths, weakness, opportunities and threats). This will help us to establish our overall strategic position, based on internal issues (strengths and weakness) and external issues (opportunities and threats).
3.1 Strengths :
There are number of strengths that we posses that will help us to capitalise on a competitive market, these strengths include:
Offering our customers new “5th Generation” pitch surfaces that will provide enhanced
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This will help us increase our market share percentage and eventually generate more income in the company.
Working closely with the council and establishing new ideas to provide fun sporting activities to school children. This will help the company to achieve a strong competitive advantage.
Having qualified and experienced first aid staff that will allow us to carry out a high level of aid to customers who require medical assistance.
Having a high gross profit margin of 76%, !!!!!! will allow us to provide high returns to our investors and make the company very attractive for any potential investors.
Having a low financial gearing ratio will mean that we have low amounts payable for interest on loans, leaving us higher levels of profits to share among our shareholders.
Low levels of gearing will also mean that there will be high levels of cash generated in the company, allowing the management to use the money and invest it back into the company.
Having sophisticated and advanced technology features like online booking. This should attract new members as this is a very straightforward and effective method to book pitches (potential
...e company’s competitiveness. Satisfied customers can help a business gain more customers through word of mouth. Ensuring excellent and consistent service and products will help the business perform better. Tim’s must embrace technology in its human resource management, bookkeeping, as well as its Marketing activities. This will improve efficiency, and reduce man hours considerably. Tim should consider investing more money into the business to allow him expand on product offering, which will help attract new customers.
Improves the company’s capital raising ability to fund future growth and acquisitions and pay down debts
A business’s gearing ratio determines the solvency of that business; this refers to the business’s ability to meet its long-term financial guarantees and commitments. Gearing is an important consideration for a business as a highly geared business that has higher proportions of debt to equity leads to a greater risk for the business. This is because debts affect stakeholders and possible investors due to high risks involved that may lead investments to be discouraged. However it also leads the business into having greater potential for profit. In reference to Hartley’s Homewares, the businesses gearing ratio being 2.817:1 OR 281.7% is relatively high compared to the industry average, which is 3:2 (or 1.5:1). From looking at Hartley Homewares
A SWOT analysis is simple exercise that could be implemented on multiple subjects including an individual or a whole corporation. The SWOT analysis is an operational tool for managing change, defining strategic direction and setting realistic goals and objectives according to Simoneaux and Stroud (2011). Discovering new opportunities and manage and eliminate threats that are present in the company and the surrounding market. SWOT is a valuable technique that leads to a better understanding of the strengths, weaknesses, opportunities and treats both internally and externally. The strengths and weakness are to be considered internal factors and opportunities and threats to be e...
The starting point of the strategic management is said to be the DESIGN SCHOOL with an emphasis on process. However this system is entirely based on the SWOT analysis. Swot stands for strength, weakness, Opportunities and Threats. Strength is a show...
Debt financing has both advantages and disadvantages. Debt financing is a business’ way to start up, expand, or recover by borrowing money from a preson or company. The money borrowed has to be paid back along with the interest that was accrued during the length of time the loan was carried out. This option is great for company’s that do not want investors. Debt financing is beneficial because the loaners do not often get involved with the company or any decision making within the company. The downfall is the risk that is assumed with the debt which is, the company may not be able to pay back the loaner. In that case, the loaner would go after the owner or partner personally. There are many forms of debt a company is allowed to take on, such as ‘venture’ debt, even if they are a high-risk corporation. ‘Venture’ debt is a form of senior debt ...
Create a community. Let your customers see how their peers are benefiting from your services. They will be inspired to communicate and share success stories.
An ideal composition of capital structure which consists of debt and equity will minimize the cost of capital and maximize the firm’s value. Therefore it becomes important for the managers to understand the theories of capital structure.
Team building and collaboration. This is the value for which they have chosen to embrace the big ideas from everywhere, all the respect for all individuals. Innovation, customer and consumer needs of spotting this simple, where creative solutions to meet them. They have a Compelling Vision-is, where is to create a path to Achieve it to de fine a sustainable future. Strives for is results-
A gathering of our most important customers have practiced significant achievement and development. Meeting these customers' necessities will bring us along to offer additional facilities and offer a chance for us to advantageously increase and magnify the facilities we provide. As we gain knowledge and inaugurate our reputation in these regions, we market those to other customers and utilize them as a point of interest to appeal new customers. Pension planning facilities are one example of this occurrence.
Negative gearing is a practice that is going on in several countries where the investors borrows money that is further used for the producing investment property and also have the certain expectation to have the gross income with the help of that investment. They usually have the expectation to get the financial gain over the investment and also managing the depreciation and the interest charges over the investment (Brown 2015).
towards investment, the idea that they are indebted to their investors. We are not discounting the fact...
It improves strategic thinking at the top by inducting independent directors who bring a wealth of experience, and a host of innovative ideas
Debt financing allows you purchase assets before you earn the necessary funds, which can be a great way to pursue an aggressive growth strategy (especially if you have access to low interest rates). Items like mining equipment, buildings, machines, equipment can all be obtained immediately once a loan is acquired. One of the advantages of debt financing is the ability to pay off your debt in installments over a period of time. Relative to equity financing, you also benefit by not relinquishing any ownership or control of the business. Finally, it is easy to forecast expenses because loan payments do not fluctuate.
what you can help them achieve. You will also encounter those clients that are there