BSCL420-T103
Nancy Peng
7.1 Assignment
Maersk Group was founded in 1904 and based in Copenhagen, Denmark. After many years of development, now it has about 110,000 employees and more than 135 offices all over the world. Maersk Group’s services throughout the world. In addition to the shipping industry, it also has different kinds of business scope, including a wide range of logistics, oil and gas exploration and production, ship building, industrial production, supermarket retail and so on. It is the top ten well-known shipping companies and largest container carrier in the world as the group’s container shipping branch. According to the Forbes Global 2000 list for 2015, it ranked 148 (A global freight giant, 2007).
Maersk Group has a lot
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It is actual profits for the 2015 is 3.1 billion dollars which in the same period in 2014 is 4.5 billion dollars. Although the Maersk Group got a good result in the first half year with a return on investment capital of 10.2%, Maersk Group’s annual result has been affected due to oil prices plummeted, tariffs and the gap between supply and demand areas of business. Therefore, Maersk Group’s return on investment capital in the second half of 2015 was -6.3%. The actual loss was 9 million dollars which made profits of 1 billion dollars in the same period in 2014. In order to deal with a challenge business environment, Maersk Group continues to use cost saving solution to optimize profitability and cash flow. Maersk Group thought the operating expenses could be decreased if they declined the fuel prices and took steps on cost saving measures, including lower oil exploration costs. (Annual report 2015, …show more content…
It has different kinds of business. It not only does businesses in container shipping, oil exploration and transportation, but also does other businesses such as retail. However, due to oil prices plummeted, tariffs and the gap between supply and demand areas of business, the finance of Maersk Group has been greatly affected. Thus, Maersk Group think that they can handle this challenge and try to find a good solution to deal with this challenge.
References:
A global freight giant. (2007, Oct 26). The New Zealand Herald Retrieved from http://ezproxy.bellevue.edu:80/login?url=http://search.proquest.com.ezproxy.bellevue.edu/docview/430156892?accountid=28125
Annual report 2015. (2016, Feb 10). Targeted News Service Retrieved from http://ezproxy.bellevue.edu:80/login?url=http://search.proquest.com.ezproxy.bellevue.edu/docview/1766928572?accountid=28125
Maersk co ltd (the) - annual report, 2010. (2010). Kuching: Acquisdata Pty Ltd. Retrieved from
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