Contents Introduction 3 Analysis 4 Appendix 8 Conclusion 10 Bibliography 12 Introduction Our aim when assigned this research was to complete a comparative ratio analysis between two chosen companies. My group and I chose Tesco Plc and Morrison’s Plc which are two leading supermarkets. We were able to complete our research by collecting our data from trusted sites such as FAME database and by downloading the latest annual reports and accounts from their websites. Tesco Plc was founded in 1919 by Jack Cohen in London and is a publicly listed company. It is the third largest global retailer based on revenue and second largest company based on profit.
Having an EDI interface means that our data in MAS 200 is very accurate.” Accuracy is also enhanced by a modification to the Sales Order module that checks for duplicate purchase order numbers. “Sometimes we get orders via EDI or fax and the purchase order number is already in the system,” says La Course. “MAS 200 alerts us to avoid double shipments. A single order can run $15,000 and freight charges are considerable, so this one customization saves thousands of dollars.” Swinging Cyber Sales About a year ago, Swing-N-Slide ventured into e-commerce using the MAS 200 e-Business Manager module. “We started small with a clearance store, offering items that would otherwise be obsolete so we wouldn’t compete with our biggest retail partners,” says LaCourse.
Objectives And Issues Studio 12 has set some achievable objectives for its first year and second year outlook with an established business; based on 14 years of experience and steady growth. First-Year Objectives As an established organization Studio 12 aims to increase its customer base by 20 - 30 percent during the initial year. With a moderate increase occurring weekly and with the addition of 2 more full time employees. This is a very achievable first year goal. This will also allow profits to climb depending on the services rendered to the customer with an average price of $30 to approximately $200 per customer.
Firstly, Service & Staff - The injection of £200m to increase employment, training and equipment for key departments in existing stores to improve level of service. Pledging to create 20,000 jobs within two years and catering to their fresh food particularly in Fruit and Vegetable Team. Secondly, Stores & Formats - Over £200m was used to refurbish their existing store ambience with the implementation of their Store Refresh program; presenting warmer and friendlier environment. Tesco also highlights that future investments will focus on Express stores and online offers. Thirdly, Price & Value - With the investment of more than £500m to reduce prices of 3,000 products, Tesco plans to stay competitive through better pricing and promotions with better personalized offers, couponing and loyalty.
3. International growth, Tesco have 30% of their stores outside the United Kingdom and plan to make it 45% by the end of next year, and will be approached through central Europe and trough Asia 4. To have the most loyal and committed staff. Tesco as a company uses clear values to underpin what they do. Their core purpose is based on “Creating value for our customers to earn their life time loyalty?Tesco have invested one billion pounds Tesco believe that one of they offer the best quality on a broad range of products and believe that they offer the best value. They have invested one billion pounds since 1996 on the campaign to reduce prices to customers and that continues to build as they go in to 2004.
You believe the stock price will increase above $27 per share by the third week of February which is one month away and is also the February option expiration date. You buy one FEB 27 call option for $.55 per share. Since each option contract is worth 100 shares, you will pay $55 (.55*100) cost for the option excluding commissions. The profit graph at expiration for this option is shown below Real Life Example of a Call Option You probably have already used options in your life and didn’t realize it. Let me give you a real life example of a call option.
Our team mission is to improve Allround performance. At the end of the 10th period, Allround must quadruple the accumulative net income. To accomplish that mission, our team set the next objectives: Financial -Increase Sales Revenue Customer Increase Retention Rate/Customer Satisfaction Internal Business Process.
In addition, they have proposed new stores count target to 40,000 worldwide (20,000 U.S. and 20,000 International) in the long-term (Starbucks Financial Release, 2007). Starbucks have succeeded several economic factors as well as price elasticity of demand.
PROBLEM STATEMENT Due to environmental changes, AssociationPower.Com (APC) must decide on new product-market and marketing-mix plans to raise its market share and hedge against competitive risks. Strategic Issues & Marketing Mix Pricing: Web site sales provide “annuity-type” revenue with annual cash flows of ~$3000 per contract. Vendor-partner relationships allow APC to receive 1% of all sales revenue purchased by the client associations or their members. APC has a $50/hour ‘set-up’ fee for helping client associations migrate content from their current site to the APC site. Roland’s proposed web site would sell for $250 per contract; Matheson’s proposed web site would sell for $500 per contract.
Costs will initially increase due to the added research, development, and promotions efforts associated with the new Strategy. The acquisition of Universal Nutrition Corporation will help the company achieve its objective of $100 Million in 2002. We also believe that such kind of acquisitions will also help the company increase its net income. We predict then, that AMS will acquire at least two more companies in the next five years, this will help the company expand it sells to reach $ 180 million in 2004 with an income of $ 13 million dollars. (See Appendix 4&5).