...Company PEST Analysis History and Use PEST is a type of analysis used in strategic management which takes into account Political, Economic, Social and Technological (PEST) factors. The term "PEST" was first coined by Francis Aguilar in his 1967 book, "Scanning the Business Environment." The analysis also often includes Legal and Environmental factors, thus creating a PESTEL analysis. The "EL" was added by Liam Fahey and V.K. Narayanan in their book, "Macro-environmental Analysis in Strategic Management," published in 1986.Frequently combined with Michael E. Porter's Five Forces Model and Albert Humphrey's SWOT analysis, PESTLE analysis is a useful tool for understanding market demand/decline, current business positions and potential opportunities/obstacles. The factors it analyzes should not be considered solely at the company level. Rather, these external factors must be examined at a company, national and global level. Political Factors A business could flourish under one political entity, and be run out of business by another; as in additional taxes, regulations, or bans. This can be seen as the degree by which government legislation impacts the company. Some examples include tax policy, trade restrictions and tariffs. Less obvious examples include inter-country relationships, political trends, types of government, war, terrorism, treaties and currency. Economic Factors While closely related to political factors, the economic factors analyzed by PESTEL analysis focus...
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...A SWOT Analysis view of the software development industry Georgios Kormaris Department of Information and Computing Sciences, Utrecht University, Utrecht, The Netherlands gkormari@cs.uu.nl WWW home page: http://www.cs.uu.nl/ Introduction I n the past twenty to thirty years many changes and developments have taken place in the software industry which started off during the 1960s mainly in the United States of America and experienced a revolutionary boom since the 1980s, Steinmueller, (1995). There are many different ways and methods of developing software and planning the strategy of a software development company, as we can derive from many recent research projects. Most of these projects are usually concerned with the way that software is developed and not with the way that the strategy of the company as a whole is planned, Cusumano, MacCormack, Kemerer, & Crandall, (2003). Another important factor is which techniques and methods are used to analyze company’s environment and how the strategy is formulated and implemented. In this paper we analyze a popular method for strategic planning which has been mostly used for product portfolio planning and strategic planning on an abstract level, as stated in a research paper by Houben, Lenie, & Vanhoof, (1999). We will focus our interest in the software industry and base our research on the case study of the Austrian software industry as it is presented by Bernroider, (2002). Additionally, certain guidelines are...
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...SWOT ANALYSIS The subject of this SWOT Analysis is a luxury fashion house, which created a new company. This firm produces only footwear and leather goods. The company was founded in the spring of 2010 as an inherent consequence of the market’s progress and maturation and of the growing number of demanding customers. According to the Wikipedia, SWOT Analysis is a strategic planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. Strenghts are characteristics of the business or team that give it an advantage over others in the industry. One of this new company’s strengths is that it has skilled human resource, the employees have experience in the fashion industry, they are fully aware with the latest trends, so they know almost everything about fashion and the demand of the customers. Second of all, this new company works only with the highest quality raw materials, with the latest technology equipment, and with the most reliable suppliers. Another strength of the company is that the prices are accesible for almost everyone, and of course the quality of the products is also excellent. Because of the first-class quality goods, the customers trust in the company’s products and this is also a strenght of the company. The seat of the firm is located in the center of the city and anybody can find it easily. This firm has the capability to innovate, because it is new in the market. Finally, the...
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...Ford Motor Company Analysis Introduction Ford Motor Company was originally founded by Henry Ford in Dearborn, Michigan on June 16, 1903. Ford Motor Company has a very glamorous history. Since it was found in the early 1900’s, Ford positioned them as the reformer of the car manufacturing industry. Their mission was clearly stated in words, “began a manufacturing revolution with its mass production assembly lines”. And they rendered the corporate strategies matching with their goal in later years. “They introduced methods for large-scale manufacturing of cars and large-scale management of an industrial workforce using elaborately engineered manufacturing sequences typified by moving assembly lines. Henry Ford's methods came to be known around the world as Fordism by 1914”. (“The Ford Story”) http://www.thefordstory.com/ the combination of attractive product design with the efficiency in manufacturing brought them not just profits, but popularity and reputation. Some of their famous classic designs like Model T, 500hp GT, Mustangs, Sport Utility Vehicle (SUV), Taurus and the best-selling F-series truck are still sold well. But Ford has been on the downhill since the beginning of the 21st century. Because of the crush of the bad economy and flawed management strategies, Ford suffered a lot and the previous ranking is now after Toyota and General Motor. It’s quite a burden to the CEO, Alan Mulally, who was elected as the new CEO in 2006 after Bill Ford stepped down...
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...excellence choice for Ford Motor Company. The cash option solves the problem of Ford having massive amounts of extra cash. Since Ford has no profitable activities for the extensive amounts of cash, returning the excess cash to shareholders allows them to make profitable investments. Different from a cash dividend, the returned cash will be taxed as capital gain and therefore achieves tax efficiency for the shareholders. When looking at the company’s point of view, they are able to lower the dividend payment because there will be an increase in number of shares. This would result in the dividend amount per share to most likely decrease and the total amount allocated to a dividend payment to stay constant. This will make dividends for the new Ford shares to go down because share price falls. Those who elect the $20 cash payout will maintain ownership of the same amount of shares they previously owned, therefore, the total dividend payment then becomes reduced. As a result of the cash payout, the number of new shares outstanding will reduce, this increases the earnings per share and, because of the increased rarity of shares, the overall demand for Ford's shares will increase. With higher demand in shares, comes a higher share price in the future. The stock option satisfies the shareholders need to remain or increase control of the company and will also benefit from holding new shares when the share price increases. Therefore, based on the analysis, the best option for Ford is to...
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...Analysis and interpretation of “The Company of Wolves” The Company of Wolves is an interesting rewriting of LRRH* and a female author’s slightly feministic interpretation of an old classic. You can see that the story is a rewriting of “LRRH” because there are a lot of similarities. For example in both stories we have a little girl walking through a forest to give her grandmother a basket of dainties . Besides that we also have the classic sentences: “What big eyes you have”, “What big arms you have” and “What big teeth you have”. The story is a rewriting so of course there are also differences like that we don’t have a heroic hunter who comes and saves the grandmother and the girl and the wolf’s genitals is described in a way so the story might not be the best bedside reading. The girl is about twelve years old (p. 22: “she has just started her woman’s bleeding”), has flaxen hair and wears a red shawl. She is a latecomer and has been so indulged that she does not know about the dangerous world she lives in (p. 22: “in this savage country”, p. 23: “she is afraid of nothing”). She is described as very innocent: Pretty, pale, fair hair like lint and virginity (p. 22). The hunter part of the wolf is described as: “a handsome one” and “a fine fellow” (p. 23). Besides that the author describes him as gallant since he offers her to carry her basket. He is a real gentleman. The wolf part of the wolf is on the other hand described as: “a beast of...
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...Molson Coors Brewing Company | Operations Management | | Busi 2002 | Due Date: October 3, 2012 | | Table of Contents Introduction 2 Overview of Company 2 Background of Molson Coors Brewing Company 2 Molson Coors Brewing Company Vision Statement and Values 4 Operational Analysis 4 Quality Management 4 Product Design 5 Location 6 Supply Chain Management 6 SWOT Analysis 7 Strengths 7 Weaknesses 9 Opportunities 9 Threats 10 Porters Five Forces 12 Product Life Cycle 13 Cold Activated Bottles and Cans 13 Widemouth Bottles 14 References 15 Introduction Molson Coors Brewing Company is one of the leading manufacturers in the Brewing Industry. They have been in business for over 350 years and have been in a number of different industries. When the Molson Inc. and Coors merged in 2005, they began to focus on one main product, Beer. This report will include a background of Molson Coors Brewing Company, a SWOT analysis, Porters Five Forces and a Life Cycle Product analysis on two of their products. Overview of Company Background of Molson Coors Brewing Company Molson Coors is has been manufacturing beer for more than 350 years. They are currently involved in all aspects of the production process, including; manufacturing, packaging and selling of its malt products. Molson Coors is primarily classified as an American company, after the merger between Molson Inc. and Coors in 2005. Due to the merger, the company maintains two main...
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...Kellogg's (also Kellogg, Kellogg Company and Kellogg's of Battle Creek) is an American multinational food manufacturing company headquartered in Battle Creek, Michigan, United States. Kellogg's produces cereal and convenience foods, including cookies, crackers, toaster pastries, cereal bars, fruit-flavored snacks, frozen waffles, and vegetarian foods. The company's brands include Froot Loops, Corn Flakes, Frosted Flakes, Rice Krispies, Special K, Cocoa Krispies, Keebler, Pringles, Pop-Tarts, Kashi, Cheez-It, Eggo, Nutri-Grain, Morningstar Farms, and many more. Kellogg's stated purpose is "Nourishing families so they can flourish and thrive." Kellogg's was founded as the Battle Creek Toasted Corn Flake Company on February 19, 1906, by Will Keith Kellogg as an outgrowth of his work with his brother John Harvey Kellogg at the Battle Creek Sanitarium following practices based on the Seventh-day Adventist Church. The company produced and marketed the hugely successful Kellogg's Toasted Corn Flakes and was renamed the Kellogg Company in 1922. In 1930, the Kellogg Company announced that most of its factories would shift towards 30 hour work weeks, from the usual 40. W.K. Kellogg stated that he did this so that an additional shift of workers would be employed in an effort to support people through the depression era. This practice remained until World War II, and continued briefly after the war, although some departments and factories remained locked into 30 hour work weeks until 1980...
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...In 1869, after working in his uncle's hardware supply company in Minneapolis, Charles A. Pillsbury, 27 years old, bought one-third of a local flour mill for $10,000 and began what would become the Pillsbury Company. Pillsbury and their competition, the Washburn Crosby Company, formed the Minneapolis Millers Association that same year. Pillsbury's improved in milling machinery included the early incorporation of modern equipment for milling the very hard local wheat. These improvements and the purchase of two additional mills allowed him to produce 2,000 barrels of flour a day by 1872. That year, he reorganized the company as C.A. Pillsbury and Company, making his father and uncle partners. During the 1880s, Pillsbury added six more mills, including...
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...automotive manufacturers in the world. GM is a corporation that designs, builds, and sells cars and trucks. GM owns 18 brands some of which include Chevrolet, GMC, Cadillac, and Buick. The company operates in 160 countries, employs roughly 207,000 people, and is one of the world’s largest vehicle manufacturers (IBIS World, 2015). The automotive industry in the United States is worth $123 billion and has $5.2 billion in annual profit (IBIS World, 2015). It is spread across 3 main competitors. Toyota Motor Corporation, which holds 17.5% of the market share, General Motors Corporation, which holds 16.3% and Ford Motor Company, holds 11.3% of the market share in this industry (Mergent Online, 2015). Over the last 5 to 10 years the automotive industry in the United States has continuously fluctuated. As a result of the economic downturn, GM filed for Chapter 11 bankruptcy in June of 2009 and was bailed out by the U.S. government. During the Chapter 11 bankruptcy, GM eliminated about one-third of its plant assets and workforce and reduced its debt from nearly $95 billion to $17 billion. GM has bounced back tremendously, by releasing brands such as Saturn and Hummer in an effort to cut costs, and in 2014 the company made $152 billion in revenue (Mergent Online). Other automotive companies have struggled as well, in 2010, Toyota’s brand reputation for vehicle reliability and safety was tarnished due to vehicle recalls. Toyota also endured its most significant operational...
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...Internal Analysis The financial ratio analysis of a company is a useful indicator to measure the success of a company. By comparing financial ratios between companies in the same industry (competitors) it is a useful way for investors and shareholders to determine the financial health and/or the sustainability of a company. Disney’s main competitors within the industry include Time Warner and 21st Century Fox. There are five key areas of comparison that provide excellent financial analysis of a company. They are short-term solvency, long-term solvency, asset management, profitability, and market value. Liquidity Ratio The short-term solvency ratio is a measurement used to measure how well a company is able to meet debt obligations. Specifically, the current ratio measurement takes the current assets divided by the current liabilities of a company. This measurement shows how well a company can pay back its liabilities from its current assets (cash, inventory, or receivables). The current ratio is also an indication of how efficient a company’s operating cycle is because if it takes a long time to turn products into cash a company may have issues fulfilling obligations. Disney had the lowest current ratio for 2013 between its competitors with a ratio of 1.21. Even though it has the lowest amongst its competitors Disney’s ratio is still significantly higher than a ratio of 1. Therefore using this current ratio measurement it can be strongly perceived that Disney has...
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...(a) i. Motorola Company ‘To be the leading product provider of innovative products that meets the expanding needs of customers around the world’ There are a lot of customers around the world, thus there’ll have different needs and wants demand by customers. Motorola would like to be the leading product provider. So, it has to be a product provider that can provide innovative products for all the customers in orders to fulfill what have been demand by the them. It can complete its tasks through the providing portfolio of technologies, solving method and services. ii. Honda Company "Maintaining a global viewpoint, we are dedicated to supplying products of the highest quality, yet at a reasonable price for worldwide customer satisfaction." Its mission statement is also known as their company principle. Honda company is trying to offer products at sensible price for customers in orders to fulfill customers’ contentment. It will offer the highest quality product in sequence to maintaining the global viewpoint. If the Honda management team works accordingly to the Management Policies it will definitely lead the company to achieve their mission in future. So, we now can see that Honda Company has a lot of brunches at all around the world in order to expand their business. iii. AirAsia “Create a globally recognized ASEAN brand” AirAsia provide the cheapest ticket that can let traveler travel to any Asian destination compare to other air line company. It is trying to attain...
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...Business Analysis of Walt Disney Company MGT/521 April 30, 2012 Business Analysis of Walt Disney Company In the era of the 21st century, when globalization has expanded drastically and rooted its success across the globe, the task of the managers in the company is getting challenging and competitive day by day. Firms have grown rapidly and the job of the fund manager has also increased to take advantageous decisions for their corporations. As a mutual fund manager, this paper will discuss the SWOT analysis of Walt Disney Company. SWOT analysis is a key component of a business analysis. It identifies a company’s internal strengths and weaknesses, and external opportunities and threats in order to obtain knowledge about the organization and whether or not the company is a worthy investment. “By conducting a SWOT analysis, an organization may improve its effectiveness through strengthening its current status, grabbing opportunities, and reducing weaknesses, and protecting business from threats” (Hitt, Ireland, & Hoskisson, 2009, p. vii). The Walt Disney Company is an American multinational diversified mass media company headquartered in Walt Disney Studios, Burbank, California, United States. It is the largest media conglomerate in the world in terms of revenue. Founded on October 16, 1923, by Walt and Roy Disney as the Disney Brothers Cartoon Studio, Walt Disney Productions established itself as a leader in the American animation industry before diversifying into live-action...
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...Ford Motor Company (Case Analysis) Group #6- TGAA TTH 1:00 Member 1- Taylor O’Neill Member 2- Knyra Ratcliff Member 3- Alex Perkins Member 4- Xu Han Member 5- Kevin Carter Member 6- Alex Dundon/ Nick Tran Presentation Date: 11/17/15 Introduction Our group has chosen Ford Motor Company as our case analysis subject. Ford is an American multinational automaker and was founded by Henry Ford in 1903. Ford Motor Company is the second largest automaker in the United States and is also the fifth largest automaker in the world. Throughout the paper we will be sharing background information of the company such as the vision statement, mission statement, company history, the industry, and our company’s strategy. We will also be sharing the elements of Ford’s internal and external environment (includes historical and competitor financial information), problem statements, possible alternative solutions to those problems, and our recommendations as to which alternative solutions would be best used in response to the problems at hand. Towards the end of our case analysis on Ford Motor Company there is a visual present for both the SWOT analysis and the grand strategy matrix. We have provided appropriate and significant content in completion of this case analysis. Background Vision Statement “To become the world's leading Consumer Company for automotive products and services. (Homepage, 2015)” Mission Statement “One Team. People working together as a lean, global enterprise...
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...Motor Company SWOT Analysis Strength: Ford Motor Company’s strength lays in its ability to use internal resources such as knowledge and reputation to maintain its dominancy in the automotive industry. Ford has managed to survive depressions, recessions, and internal breakdowns to become one of the biggest automaker in the world. What sets Ford apart from its competitors is the amount of knowledge it has acquired in the automotive industry for over a hundred years. In the business world, time plays an enormous role because it separates the weak from the strong. Ford is able to maintain its popularity by introducing new and innovative ways to produce and sell automobiles. Ford started with the assembly line, which revolutionized the automotive industry making it faster, cheaper and safer to manufacture vehicles. Then, it continued with the introduction of dealerships all around the United States enabling accessibility to transportation, which was soon to be the fastest growing industry in the world. Knowledge is key in any business, and Ford recognizes the strength and advantage it has over its competitors, by simply being in the business longer and learning from the past. Another major strength Ford has is its reputation. Ford is recognized for its unparalleled ability to speak to the American people. When people think about cars and America, they immediately think Ford. Why? Ford has branded itself as the father of the automobile industry, and no other company can claim...
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