Market and Company Analysis of Nestle

Market and Company Analysis of Nestle Nestlà ©, the worlds leading food company, produces nutritious food and is conscious of the importance of informing the consumer about the link between nutrition and health. A healthy diet contributes significantly to the overall quality of a good life. 2.2 Nestle Ghana LTD **Note: Please REPHRASE and COMBINE this section; its taken WORD BY WORD from the available source. Source 1: Marketing Information and Research Task 1and 3.pdf Source 2: Nestle Pure Life Drinkng Water.pdf Nestle Ghana limited is a private company operating in Ghana. Its activities include condensed and evaporated dairy products, beverages, coffee, tea, and chocolate and confectionary. The company employs four hundred and seventy two work forces. Nestle started business in Ghana in 1957 under the trading name of Nestle products Ghana limited with the importation of nestle products such as milk and chocolate. In 1968, it was incorporated as Food Specialties (Ghana) limited to manufacture and market locally well known Nestle brands. The company became nestle Ghana limited in 1987. In 1971 the production of two products, Ideal Milk and milo started at the factory in Tema, the port city. The factory has since been further developed and now also produces carnation milk, Chocomilo, Chocolim, Cerelac, Cerevita and Nescafe 3 in 1. These products are not only produced for Ghana but also exported across West Africa. In 2003, Nestle Ghana limited invested in a new warehouse named the Central Dist ribution Centre, located next to the factory in Tema. The company runs sales offices with warehouse in Kumasi, Takoradi, Koforidua and tamale, all in Ghana. The business activity of Nestle Ghana limited is a direct contribution to the economy of Ghana. For all these and other endeavours, nestle Ghana limited has been recognized by the Government of Ghana and other bodies as a responsible corporate citizen. -=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-= Nestlà © Ghana Limited started business in Ghana in 1957, with the importation of Nestlà © products such as milk and chocolates. The company built its factory at Tema in 1971 and started the production of IDEAL Milk and MILO. In 1987 Food Specialties Ghana Limited became Nestlà © Ghana Limited. Since then, the product portfolio has increased with the additional production of CARNATION, CARNATION TEA CREAMER, CHOCOLIM, CHOCOMILO, CERELAC (Maize, Wheat, Wheat Bean, 3 Fruits, Honey, Rice and Banana), NESCAFÄ’ Crem 3 in 1 and NESQUIK, which is produced for import. Other products like NESCAFÄ’ and MAGGI are imported from Cà ´te dIviore. Nestlà © Ghana Limited continues to thrive in business because great importance is placed on value creation for our stakeholders and customers. Ensuring long term profitable growth and sustainability has been achieved by building on the companys strengths and balancing the portfolio on three (3) sound pillars: milk, cocoa beverag e, and culinary. As a member of the Central and West Africa region (CWAR), Nestlà © Ghana aims to be an efficient and competitive inter-company supplier: using and contributing to CWAR synergies by becoming a sound manufacturing base for Ghanaian exports like cocoa beverage; aiming to increase Nestlà © Ghana exports from ten percent (10%) to thirty percent (30%) of annual turnover. To achieve this, Nestlà © Ghana is diligently improving processes through capacity usage and working capital optimization, such as the introduction of environmentally friendly equipment, and upgrading information systems, with the introduction of GLOBE (SAP). The advent of these changes enhances and enforces Nestlà © Ghanas determination develop Nestlà © employees. =-=-=-=-=-=-=-=-=-=-=-=-= In 2003, Nestlà © Ghana Ltd invested in a new warehouse, the Central Distribution centre, located next to the factory in Tema. The company also runs sales offices with warehouses in Kumasi, Takoradi, Koforidua and Tamale. The business activity of Nestlà © Ghana Ltd is a direct contribution to the Ghanaian economy. For all these and other endeavours, Nestlà © Ghana Ltd has been recognized by Government and other bodies as a responsible citizen. Since its establishment, Nestle Ghana limited has significantly stimulated the Ghanaian economy with a dynamic, well trained dedicated work force, manufacturing and marketing well-known brands such as: Ideal Full Cream Evaporated Milk, Carnation Filled Milk, Carnation Tea Creamer, Milo, Chocolim, Chocomilo Cerevita porridge, Cerelac Maize Milk And Cereal Wheat / Milk. Nestle Ghana also imports and distributes brands such as: NIDO milk powder, lactogen infant formula, NAN infant formula, Nescafe soluble Coffee, and Maggi Bouillons and cold sauces. Nestle Ghana Ltd. is now seeking to capitalize on the goodwill enjoyed by it brand chocolim, by introducing chocoless, a brand extension, aimed at generating growth for the company. ANALYSIS Industry Analysis Industry of Cocoa in Ghana Cocoa beans were first introduced to Ghana in 1878 by Tettah Quarshie. Thereafter, the cultivation of cocoa increased steadily until Ghana became the worlds largest cocoa producer, supplying more than one-third of world production by the mid-1960s. By the early 1980s, production was less than half that of two decades before; market conditions were aggravated by a drop of nearly 75% in world cocoa prices between 1977 and 1982. In 1983/84, cocoa production totaled 158,000 tons, the lowest since independence; by 1999, production had rebounded to about 409,000 tons (second highest after Cà ´te dIvoire). The Ghana Cocoa Marketing Board purchases and (at least in theory) exports the entire cocoa crop, as well as coffee and shea nuts. Cocoa smuggling was made punishable by death in 1982. [http://www.nationsencyclopedia.com/Africa/Ghana-AGRICULTURE.html#ixzz1DlAhbER2] Since the introduction of democracy in Ghana in 1992, the cocoa beverage industry has shown considerable growth. Total number of players is estimated around five. Difficulties in discovering this number arise due to increasing of imported product by unauthorized company. The advent of a democratic government has led to a more business friendly environment and privatization policies have led to an increase in the size of the private sector in the country. Leading Businesses in the Industry Cocoa beverage industry in Ghana is highly fragmented, with the presence of multinationals, domestic and foreign companies. Except in categories where domestic players are protected by legislation, multinationals usually dominate. Notable players include Cadbury (Ghana), Cocoa Processing Company (CPC) and NABB Brothers. It is common for large international companies to form alliances with Ghanaian companies, to repackage and/or market their products in Ghana. This lowers the risk of market entry, as well as enabling the international company to benefit from the existing marketing and distribution capabilities of the Ghanaian company. Factors That Affect Growth Economically, Ghana was in the lower tier of developing countries and classified as a least developed country (LCD) by international development agencies because its per capita annual income was US$400 [textbook]. A positive outlook is forecast for consumer goods in Ghana. One of the main contributory factors will be the countrys political and economic stability. Higher disposable incomes and increasing company advertising are expected to boost value growth. The average Ghanaian will spend more on packaged food, especially on items previously regarded as luxuries. Value growth will also benefit from the increasing sophistication of Ghanaian consumers and improving product quality. Food items that are fast and convenient, such as pasta and noodles, will continue to post dynamic value growth. The sector faces many challenges caused by the environment in Ghana such as poor infrastructure, poor standards of education, and high levels of corruption and a generally low level of disposable income of the population. There is little manufacturing for export, but a significant activity exists in the manufacture of fast moving consumer goods aimed at the domestic market. In recent years, multinational corporations have increased their investment in physical plants, information technology and staff training with a view to improving their operational performance. The consumer goods sector is a major part of the manufacturing sector in Ghana. And like all other manufacturers, the consumer goods industry is characterized by low valued added production. What we see are processors who process imported raw materials into finished products, with very little value added. Multinational companies operating in this industry hardly add value because they import concentrates from their parent companies, which they convert into finished products with minimal value added. The industry is dominated by wholesalers and distributors. In fact, distributors and wholesalers account for over 50% of total sales within the industry. Their dominance is as a result of fragmentation nature at the retail end of the market. The retail end lacked adequate supermarket and glossary stores. They mainly comprise of roadside kiosks, stores, and small sized restaurants, whose sales volumes are generally low. Distribution to the retail market is hampered by huge investments required for delivery trucks general bad road network. Marketing Strategy -What types of marketing strategies are prevalent within the industry? -Determine current operational/management trend within the industry? Neslte Creating Shared Value (Source: Nestlà © Creating SharedValue Report 2009.pdf) care about the people water treatment Water treatment Because good water quality in the areas surrounding our plants has direct benefits for our business, society and the environment all our water is treated in wastewater treatment plants. Our preference is to use municipal wastewater plants to ensure we return only cleaned water back into the environment, but where these are insufficient, we invest in our own on-site facilities (approximately 292 to date, including our latest in Tema, Ghana). We remove 97% of the organic load of the water leaving our factories before it is returned to the environment. In 2009, we discharged 91.34 million m3 of water, a decrease of more than 5% on 2008, with an average level of organic load of 91 mg COD/l (Chemical Oxygen Demand per litre). During 2009, we have reviewed this KPI and have determined that figures for previous years were underreported. Competitor Analysis Nestle Ghana was facing a direct competition and indirect competition. Their direct competitors are Cadburry Schweppes Ghana Ltd, NABB Brothers, Cocoa Processing Company, Allied Cocoa Products Ltd and Kings Cocoa Processing Company Ltd (KCPCL). All those competitors are manufactured and marketed cocoa products. Cadburry and NABB Brothers are multinational companies which have wide experience in international marketing. The rest are local companies which plant cocoa and manufactured cocoa products for Ghanaian. Multinational companies which enter Ghana earlier than Nestle is Cadburry Schweppes Ghana Ltd entered Ghana on 1910 for its own benefit. It was 100% owned by Cadburry Schweppes (UK) with 120 employees. NABB brothers is imported cocoa products to Ghana, there are the leading distributor of supermarket products. The earliest local company which produced cocoas product is Cocoa Processing Company Limited established in 1965 and situated in the picturesque port city of Tema in Ghana. The company comprises three factories (2 Cocoa Factories and a Confectionery Factory). Kings Cocoa Processing Company Limited is a limited liability company incorporated in Ghana on November 30, 1981. The shares of the company are publicly traded on the Ghana Stock Exchange. Allied Cocoa Products Ltd was serving Ghana since 1998. Kings Cocoa Processing Company Limited is a private limited liability company which was incorporated in 2000 to take over the cocoa processing business of the parent company, Luki Investments Limited, which has been trading since 1992. Furthermore, Nestle Ghana was facing indirect competition as well. In Ghana, Milo and Chocolim were marketed for cocoa products by Nestle. They have to compete with other products which are not cocoa products because Ghana also planted tea, coffee and else and can be manufactured into variety products. Cocoa might be chosen by children and teenagers but not elders. Competition by Product Cocoa is the largest cash crops in Ghana since 19th century. However, the earliest local company serving cocoa products for citizen is Cocoa Processing Products in 1965. Cadburry Schweppes entered Ghana on 1910 while Nestle started in Ghana on 1957. This time frame show us that even though Ghana have plant cocoas for a long time but they only manage to produce it on 1965 because they are classified as a least developing country (LDC). Their products are chocolate drink and Golden Tree chocolate bars. The Cocoa beverage market is divided into three categories based on the product: The Premium Segment, Mass Market and Institutional Market. Nestle had a strong market in Premium and Mass Market segment. The Institutional Market is for products that contain basic unsweetened cocoa powder supplied to school, hospitals, the armed forces, and so on. Nestle pulverized cocoa drink consisted of  Milo and Chocolim. The major brand Nestle which manufactured Milo was the leader in the premium category, while state owned Cocoa Processing Company manufactured Golden Tree Vitaco was the strongest in the Institutional Company. As we can se here, all of the companies were marketed cocoas products. Bournvita and Richoco which manufactured by Cadburry Schweppes Ghana Ltd, imported Ovaltine which marketed by NABB Brothers, Golden Tree Vitaco Instant Drinking Chocolate which made by Cocoa Processing Company, Broma which made by Allied Cocoa Products Ltd and Kings Cocoa Processing Company Ltd (KCPCL). All those competitors are manufactured and marketed cocoa products. Competition by Price Ghana has a long history of government-controlled prices for consumer goods and people were quiet sensitive to price changes and were said to have long-term negative perceptions of companies that were perceived to engage in price gouging. These happened because Ghana was in the lower tier of developing countries and classified as a least developed country (LDC) by international development agencies because its per capita annual income was US$400. Nestle (Ghana) needs to develop products that are affordable to the common people because they are dealing with a developing country which has a   low per capita income of US$400. Nestle perceived better quality products were sold at premium of 5% to 10% over competitors. The products were becoming less affordable with waning real incomes. There was also increasing price pressure from imports that were flooding the market as a result of import liberalization. People in developing countries look for affordable products and do not pay attention to the eminence of the products thereby Nestle (Ghana) should not have its products above the average price of  similar products in the market. Thus, Nestle (Ghana) should make its products more affordable to the common people. The disadvantage for Nestle (Ghana) is the external economic environment was increasingly hostile and risky with the rapid increases in inflations; high interest rates and the high level of currency instability were leading them to increase the prices. Competition by Promotion Nestle also operated its own sales outlet and largely distributed through supermarkets and departments. Nestle had 100 regular distributors nationwide and the biggest distributor was Unilever s G.B. Ollivant subsidiary. Nestle used an amalgamation of media advertising and sales promotions targeted at the youth for Milo. The company sponsored highly popular youth soccer leagues, sponsored tennis tournaments and marathon race for all ages. Sales promotion technique of wet sampling (free drinks) was intended at promoting the sales. Media advertising promoted the themes of good health, growing up, and success as closely related and linked to drinking Milo. Nestle s strategy in Ghana was to ensure high awareness of its brands, widespread distribution and quality of its products which helped trounce its competitors in the cocoa beverage market. The statistics shows that only 35.8% of the population of Ghana lives in urban areas, the rest 64.2% of the population lives in rural areas where there are low levels of consumer durable ownership such as telephone, television, house, radio and low circulation of print media. Such setbacks in rural areas mean that mass promotion was viable primarily in the urban areas. The main drawback is that companies have to use large investment in promotion of product into the rural areas to exploit 64.2% of the population. As an alternative of spending 150 million cedis (about US$150,800) on sales promotions in urban areas on non media promotion of 60% and 40% covered media expenditure, Nestle can utilize the investment to aggressively promote the product in rural areas. It will help Nestle (Ghana) to venture into the majority of the population and take control of the market from both sides. Competition by Market share Nestle pulverized cocoa drink consisted of Milo and Chocolim. The two products were quite similar with sixty percent of the company s powdered sales from Milo and forty percent from Chocolim. Chocolim was aimed at rural areas and low-end urban market while Milo was the premier brand and was targeted to the high-end of the market. Nestle brands were sold at premiums of 5% to 10% over competitors because if its perceived better quality in the market. The Cocoa beverage market was divided into three segments: Premium Segment, Mass Market and Institutional Market. Nestle managers estimated their share of 80% in the cocoa beverage market; other observers believed Nestle share was closer to 55%. Major competitors for Nestle were Bournvita and Richoco, manufactured by Cadbury (Ghana) with an estimated 20% to 40% market share. Cadbury (Ghana) was 100% owned by Cadbury Schweppes (U.K) and had 120 employees. Another entrant, though on a much smaller scale, was state-owned Cocoa Processing Company (CPC) which made Golden Tree Vitaco Instant Drinking Chocolate. In the institutional market CPC was the strongest market. An additional category of competition came from imports, the most prominent of which was Ovaltine, marketed by NABB Brothers, a leading distributor of supermarket products. Milo was the leader in the premium category, while Golden Tree was the strongest in the Institutional Market. Richoco was believed to lead Chocolim by about 5% to 10% market share in the mass market. http://www.goldentreeghana.com/thecompany.html http://www.alibaba.com/member/lumor/aboutus.html http://www.scn.org/rdi/kw-coc.htm http://business.everythinghana.com/index.php?option=com_mtreetask=viewlinklink_id=48Itemid=26 http://en.wikipedia.org/wiki/List_of_bean-to-bar_chocolate_manufacturers http://alliedcocoa.com/index.asp Definition of Population growth rate: The average annual percent change in the population, resulting from a surplus (or deficit) of births over deaths and the balance of migrants entering and leaving a country. The rate may be positive or negative. The growth rate is a factor in determining how great a burden would be imposed on a country by the changing needs of its people for infrastructure (e.g., schools, hospitals, housing, roads), resources (e.g., food, water, electricity), and jobs. Rapid population growth can be seen as threatening by neighboring countries. SWOT Analysis Strengths Global food producer, located in over 100 countries. Consistently one of the worlds largest producers of food products, Global sales in 2008 topped $101 billion. Nestlà © provides quality brands and products and line extensions that are well-known, top-selling brands. Successful due in part to their unquestionable ability to keep major brands consistently in the forefront of consumers minds (and in their shopping carts) by renovating existing product lines, keeping major brands from slipping into saturation/decline and having superior access to distribution channels. Weaknesses Growth in their organic food sales division was flat in 2008, even though the industry grew 8.9%. Nestle Ghana lack of rural market promotion Products are not affordable by common people Opportunities In todays health conscious societies, they can introduce more health-based products, and because they are a market leader, they would likely be more successful. Provide allergen free food items, such as gluten free and peanut free. They launched a new premium line of higher cocoa content chocolates dubbed Nestlà © Treasures Gold, in order to cash in on the recession economy in which consumers cut back on luxury goods, but regularly indulge in candy and chocolate. Opened Nestlà © Cafà ©s in major cities to feature Nestlà © products. Nestle strategy in Ghana was to ensure high awareness of its brands, widespread distribution and quality of its products which helps trounce its competitors in the cocoa beverage market with its theme of good health, growing up and success as closely related to its products. Expand to Institutional Market Nestle (Ghana) needs to develop products that are affordable to the common people because they are dealing with a developing country which has a low per capita income of US$400. Threats Any contamination of the food supply, especially e-coli. Raw chocolate ingredient prices are soaring; dairy costs alone rose 50% in 2008, this cuts heavily into their profit margins and often gets passed on to consumers, by shrinking the packaging in a way that is almost unnoticeable-therefore the consumer is paying the same prices for less product. They have major competitors, like Cadburry Schweppes Ghana Ltd, NABB Brothers, Cocoa Processing Company, Allied Cocoa Products Ltd and Kings Cocoa Processing Company Ltd (KCPCL) The external economic environment was increasingly hostile and risky with the rapid increases in inflations; high interest rates and the high level of currency instability were leading them to increase the prices. RECOMMENDATIONS We would suggest Nestlà © (Ghana) should make products affordable to the common people. By developing Nestlà © (Ghana) products that are affordable to the common they can reach majority of the population because they are dealing with a developing country which has a low per capita income of US$400. Nestlà ©s perceived better quality products can help it market in rural areas if the product is affordable. It will help Nestlà © (Ghana) also exploit 64.2% of the rural population and take control of market from both the sides. It will also help Nestlà © expand into new market segments like the Institutional Marketing. People in developing countries look for affordable products and dont pay attention to the eminence of the products thereby Nestlà © (Ghana) should not have its products above the average price of similar products in the market. Nestlà © (Ghana) can make maximum profits from a developing country like Ghana and exploit to every side of the population, urban and rural.

Ballot or the Bullet

People would come from all over the country to Harlem, New York in the year 1964 to listen to Malcolm Little, better known as Malcolm X, give his speeches about having more civil rights for the black community. He claimed that they should try to spend money inside of their community to help it prosper and prevent it from becoming a slum or a ghetto. He compared their situation many times to when America was first starting and how they had to fight for their freedom from Britain.Malcolm X talked about Patrick Henry and how he said, â€Å"Give me liberty or give me death† and was saying that they need to stand up for what they want. He said that there can not be a revolution with blood shed but America is in a position right now where they can be involved in a â€Å"Bloodless revolution. † One thing that he repeated throughout his speech was that it would be the â€Å"ballot or the bullet† (Malcolm X). This meant that they would either get what they asked for or th ey would have to fight for it.In Malcolm X’s speech he addressed different rhetorical strategies to convey his message to the people of Harlem. One way the speaker attempted to sway his audience to feel the way that he did was by telling the people that he was educated about how the white people felt when they were suppressed by Britain. The white people of the time were being taxed without representation. He learned who Patrick Henry was and how he would rise up and say â€Å"Liberty or death† which is the equivalent to what Malcolm X’s slogan was, ballot or the bullet.He said that, the statement â€Å"Liberty or death† brought freedom to the white people in this country and that if they could do it, so could he and his supporters. He also talked about how he knew the new generations of black people in this country didn’t care how far the odds were against them; they wanted to fight for their rights to be equals to the white people of America. The y would ignore the odds altogether until they had succeeded in what they have come to do.Later, Malcolm uses emotion to get his message across to his audience when he talks about how America right now could be the only place to have ever had a bloodless revolution by simply succumbing to what the black population wanted and give them their civil rights. He said that usually you aren’t in a position where you love your enemy but here is a time where they love America but just would like to be treated as equals along with the rest of the population.Malcolm also said that Uncle Sam was the one that created this problem in the first place and going to his court expecting him to fix the problem would do absolutely nothing because he is the criminal and he is the one that needs to be fixed. A little bit later he talks about how Afro-American churches are being bombed, little girls getting murdered, and leaders of the black population getting shot in broad daylight. He asks why this isn’t being brought to the UN when these sorts of things that happen in other countries go directly to the UN. Then Malcolm says that it is their turn to take their case to the UN.He says that there he will have the support of all different ethnicities, including the 800 million Chinese people out there. Malcolm also talks about how Uncle Sam is able to stand up and represent himself as the leader of the free world when he is violating the human rights of over 22 million Afro-Americans. Malcolm used different methods to try to get his feelings across to his audience but they all were directed towards the same purpose; to try to get the civil rights of the black population in America at the time. This worked to a degree, it got people all riled up to fight for their civil rights.He first talked about how when America was first starting they didn’t like it when their civil rights were suppressed and that the Afro-Americans feel the same way they want their rights. Then Malcolm talks about how this revolution doesn’t have to include any death as long as America listens to the black communities requests. He purposes that it is time to go to the UN and have them help sort this out with the help of other countries. He sums up his whole speech in four words and those words are â€Å"ballot or the bullet† they will get what they want or they will fight for it.

The Industrial Revolution Essay - 847 Words

The Industrial Revolution During the 1800s, phenomenal changes took place in America. These changes would impact our society incredibly for years to come and even still in the present. The major changes that took place were in transportation and industry. American society expanded so much in the early 1800s that it very well could have been the only time in history where this happened in such a short amount of time. From steamboats to railroads and from textile mills to interchangeable parts, the revolutions of this century were key to Americas expansion as a country. First, the Transportation Revolution began early with simple roads. The National Road, from Baltimore to Illinois was finished in 1838. This road was originally†¦show more content†¦Overall the Erie Canal was a great improvement to the social and economic problems in America. Around the time of the building of canals, the steamboat was invented. In 1807, Robert Fulton and Robert R. Livingston created the Clermont on the Hudson River. St eamboats changed transportation drastically. They could travel faster, carry more cargo, and meet schedules on time. A ferry service was created to link New York and New Jersey. Steamboats became essential along the Mississippi-Ohio River system. Steamboats were also a step up in the Social class because they had places called saloons. Saloons were created for wealthy families. They were lavish cabins were people could go to relax during their trip. Like canals, Steamboats also had a downside. There were cases where steamboats exploded and killed many people. Also, the amount of fuel for steamboats was very limited. Steamboats made transportation and shipping much easier on American society (Enduring Vision 247). Along with canals and steamboats, railroads made their way into society in 1840. Railroads were by far the most influential change in society during that time. Railroads cut shipping and traveling prices in half, not to mention the time they saved people. Cities like Baltim ore and Boston benefited especially from railroads because of their lack of waterways. Now all cities could be internally connected make use out of each other. Railroads were relatively cheap to build andShow MoreRelatedIndustrial Of The Industrial Revolution1666 Words   |  7 PagesMartinez English IV, 1st hour 4/29/16 The Industrial Revolution The Industrial Revolution set people away from farms and small villages and moved them to cities and towns because of the job opportunities that arose in the cities. The Industrial Revolution not only helped people move along in the late 1700s and early 1800s but also it has made the people what they are today. During the Industrial Revolution, the movement from an agrarian society to an industrial one reshaped the roles of families, widenRead MoreThe Revolution Of The Industrial Revolution917 Words   |  4 PagesWhen thinking of the industrial revolution, I usually correlate this transitional period to great advancements in machinery, and an increase in jobs. However, after looking past the surface of the industrial revolution, in regards to the promise of great wealth, this promise was not kept, along with other issues. I believe that a â€Å"better life† would mean that people would not have to go through the same struggles they once did before the revolution, struggles such as not having a job, money, homeRead MoreThe Industrial Revolution943 Words   |  4 PagesThe Industrial Revolution, a Revolution that began in Britain in the nineteenth century, saw people move from working in the farming industry to working in factories. This transition from an agrarian society meant that many people moved to cities in search of jobs. New methods of manufacturing allowed goods to be produced far more cheaply and quickly than before. However, the Revolution came with its own negative consequences. The lives of children during the Industrial Revolution were torturousRead MoreThe Industrial Revolution1633 Words   |  7 Pagesmeans of communication, factories to manufacture the products you need, places to work, and ways to travel and transport goods. And what made these possible? The answer is the Industrial Revolution, which started in Europe around the year 1730. A revolution is a major change or turning point in something. The Industrial Revolution was a major turning point in history and in the way people lived. Their careers, living situations, location, values, and daily routines all changed, and they needed it desperatelyRead MoreThe Industrial Revolution1097 Words   |  5 PagesBefore the advent of the Industrial Revolution, most people resided in small, rural communities where their daily existences revolved around farming. Life for the average person was difficult, as incomes were meager, and malnourishment and disease were common. People produced the bulk of their own food, clothing, furniture and tools. Most manufacturing was done in homes or small, rural shops, using hand tools or simple machines. Did You Know? The word luddite refers to a person who is opposedRead MoreThe Industrial Revolution1090 Words   |  5 PagesShort Term Misery†¦ Long Term Gain There are two major industrializations that have occurred through out history, both which began in England. The Industrial Revolution was from 1750 until 1800. The first and second industrialization were filled with many inventions, new societal ideas, new raw materials, new sources of power, also new ideas and societal implements were made enabling the world and society to evolve. Overall these industrialization was filled with death, neglect, and disease but endedRead MoreThe Industrial Revolution936 Words   |  4 Pageseconomist Robert Emerson Lucas wrote in regards to the Industrial revolution: For the first time in history, the living standards of the masses of ordinary people have begun to undergo sustained growth. The novelty of the discovery that a human society has this potential for generating sustained improvement in the material aspects of the lives of all its members, not just the ruling elite, cannot be overstressed.† (Lucas 2002). The revolution itself was ce ntred in Britain before spreading to theRead MoreThe Industrial Revolution705 Words   |  3 PagesThe Industrial Revolution was the quintessence of capitalistic ideals; it bred controversy that led to Karl Marx’s idea of communism as a massive grass roots reaction to the revolution’s social abuses. Firstly, the Industrial Revolution featured the construction of machines, systems and factories that allowed goods to be manufactured at a faster rate with a lower cost. The seed drill made it so there could be â€Å"a semi-automated, controlled distribution and plantation of wheat seed†(Jones 2013). SecondlyRead MoreIndustrial Revolution1160 Words   |  5 Pagesend of the 19th century, a significant change took place in the fundamental structure of the economy. That change was industrialization. During this time period, the United States of America changed from a large, agricultural country, to an urban industrial society. The process of industrialization began to take place in America, and eventually took over the economy during this period. Entrepreneurs and inventors put together various machines and businesses to help better the country function on aRead MoreThe Industrial Revolution Essay2099 Words   |  9 PagesThe Industrial Revolution was one of the largest social and cultural movements that changed the methods of manufacturing of metal and textiles, the transportation system, economic policies and social structure as well. Before the Industrial Revolution, people used to live by season due to agriculture. They thrived on whatever food was in season. Now, as a result of the Industrial Revolution, we live regimented and almost everything that is made, is mass produced. I will discuss three major topics

Bombardier Case Financial Analysis - 1347 Words

Bombardier Case - Financial Analysis **please note that units in this financial analysis are in the $ millions. 1. Describe Bombardier’s current liquidity position (from balance sheet and note on their bank credit facility). Do you think they have sufficient liquidity? CURRENT RATIO QUICK RATIO CA = 9863 =1.0502 CA- INVENTORY = 9863 – 3805 = 0.6451 CL 9391 CL 9391 CASH RATIO CASH = 2917 = 0.310 CL 9391 Current asset(CA) consists the following items: Cash Cash equivalent, Receivables, Aircraft Financing, and Inventory. Current Liability(CL) consists the following items: Accounts payable†¦show more content†¦5. What is Bombardier’s â€Å"free cash flow† amount for FY 2006? PDF p.47 Free Cash Flow= 532 million The free cash flow is how much money a company could pay shareholders out of profits without expanding. Bombardier’s free cash flow amount for year 2006 is 532 million dollars. This means that bombardier is able to pay 532million dollars to shareholders without expanding. This is not much considering Bombardier has 1,745 million common shares, and each dividend per share is about 1.34$(average of 3 series of shares), dividend paid is 2349 million. PDF pg73. 6. From the explanation provided in the MDA, what segment of their business are they attributing the decrease in revenues to? From the explanation provided in MDA, the decrease in revenue ($690million) is from decreased mainline revenue in U.K and Germany, lower deliveries of region aircraft, lower volume of pre-owned business aircraft sales, which is partially offset by higher deliveries and improved selling prices of business aircraft. 7. From the Aerospace section of the MDA, what goals/strategy are they focusing on for the next few years? From the Aerospace section of MDA, their goals/ strategy they are focusing on for the next few years are: to improve EBIT(operating income) margin to 8% over the next two to four years, and improved and sustained profitability will be achieved through focusing all employees on three priority and targetedShow MoreRelatedEssay about Bombardier Case Study1573 Words   |  7 Pagesfuture strategy will be within the aerospace industry. 2. External analysis Technological: Due to the competitive nature of the industry, it is important to stay ahead of the pact in term of technology; continuously improving energy efficiency of the carriers. Economic: The industry’s performance is highly tied in with the economy. A weak economy will mean weak sales. Industry analysis: Porter’s five forces model Bombardier Aerospace’s industry would be most clearly defined as the airlineRead MoreCase Study Bombardier1485 Words   |  6 PagesCASE STUDY Bombardier Aerospace: The CSeries Dilemma Propaedeutics in Strategy 70-450-12A FOROUGH ENSANDOUST MARTICULE 11142559 1. Current Performance As of September 30, 2012, the total number of 138 units of CSeries100 and CSeries300 commercial jets are ordered, while it now expects the first delayed delivery before the end of next June, a delay that had been anticipated due to high performance milestones set by company .According to Pierre Beaudoin CEO ,company requires more time toRead MoreProcess of Selecting IT Systems and Softward for Harley Davidson and Bombardier1719 Words   |  7 PagesThe cases of Harley Davidson and Bombardier show how both the process of selecting IT systems and software and how the implementation of them can be done. They represent good examples of how careful and methodical approach to decision making can generate efficiency and savings. They also outline several factors that should be considered in the decision making and development processes. Bombardier 1. The organization has evolved through multiple Merger Acquisitions (MA) and operates in a siloRead More Bombardier Report Essay2774 Words   |  12 Pages Bombardier Report Analysis of Bombardier: nbsp;nbsp;nbsp;nbsp;nbsp;Bombardier took on its present form in 1976 when MLW-Worthington, a manufacturer of locomotives, acquired Bombardier Ltd., a manufacturer of snow tractors and snowmobiles. The company was renamed Bombardier Inc. in 1978. The company has been active ever since in the acquisitions of various aerospace and transportation companies around the world. Nature of the Business nbsp;nbsp;nbsp;nbsp;nbsp;Bombardier conducts businessRead MoreAirbus: Executive Summary1053 Words   |  5 PagesExecutive Summary The aerospace industry is one of the most capital intense industries in the world. US manufacturing had enjoyed a distinct technological and financial advantage over its European competitors from the period after the Second World War (Carpenter, 2009). In 2002 however, to the surprise of many Airbus an aircraft manufacturing subsidiary of the European Aeronautic Defense and Space Company N.V. was able not on to gain global market share but take the lead. Their ability toRead MoreDe Havilland Inc1237 Words   |  5 PagesTable of Contents Executive Summary 4 Issues Identification and Case Analysis 5 Alternatives or Options 7 Recommendation 9 Implementation Read MoreCase Study : Boeing : The Boeing Company Essay5714 Words   |  23 PagesCompany in Brief (Tori)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.Page 1 Environmental Analysis (Tori)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦.†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.Page 1 Macro Environmental Analysis(Tori)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Page 1 Competitive Environment Analysis(Lauren)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.†¦...†¦...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦.Page 1 Internal Environment Analysis(Tori)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦....†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Page 1 Company’s resources(Tori)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦..†¦...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Page 1 Company’s culture(Tori)†¦Ã¢â‚¬ ¦...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...†¦.†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Page 1 SWOT Analysis (Lauren)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Page 1 Strengths (Lauren)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Read MoreSkywest Case Study5493 Words   |  22 PagesBrandon Cisco 15 March 2013 GBA 490 Case Analysis SkyWest, Inc. Competitive Analysis Table of Contents 1. Executive Summary†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...3 2. Competitive Analysis†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.5 3. Recommendations†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.7 4. Appendix†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...9 5. Sources†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦22 Executive Summary This report examines the factors pertaining to SkyWest, Inc. (referred to in this document as SkyWest)Read MoreComponents Of A Successful Strategy1814 Words   |  8 Pages†¢ Internal Analysis There are three critical ingredients are important to a successful strategy. First of all, the conditions have to be including in the strategy in the competitive environment. Explicitly, the strategy need to get benefits from exiting or projected advantages and reduce the influences of main threats. Secondly, the strategy has to consider about the realistic situations of the business’s resources. In order words, the strategy have to considered about the existing external opportunitiesRead MoreGlobalization Of Production And Consumption Builds Weight On Firms9648 Words   |  39 Pagesand purchasing agents will result in improved performance will bring about enhanced execution, as they assume a part in make or purchase choices that focus the level of vertical reconciliation (Novak and Eppinger, 2001: 202). Salvador et al. (2002) case that in spite of the reliance of product, process and supply chain design there is still minimal thought about how product, process and supply ch ain design game plans ought to be composed to enhance general supply chain performance. They recommended