...Staples Equity Valuation and Analysis David Lecky Chad Loudermilk Bennett Matkins Kara Reynolds Amanda Rhodes David.Lecky@ttu.edu Chad.loudermilk@ttu.edu Bennett.Matkins@ttu.edu Karereyddd@yahoo.com Amanda.b.Rhodes@ttu.edu Table of Contents Executive Summary……………………………………………………….. 2 Overview of Staples and the Industry………………………………... 7 Five Forces Model……………………………………………………………………….. 9 Rivalry among Existing Firms……………………………………………………….. 9 Threat of New Entrants……………………………………………………………….. 15 Threat of Substitute Products………………………………………………………. 17 Bargaining Power of Buyers………………………………………………………... 17 Bargaining Power of Suppliers…………………………………………………..... 18 Classifying the Industry………………………………………………………………. 18 Key Success Factors……………………………………………………………………. 19 Competitive Advantage Analysis………………………………………………….. 19 Accounting Analysis………………………………………………………. 25 Key Accounting Policies………………………………………………………………. 25 Accounting Flexibility………………………………………………………………….. 26 Evaluation of Actual Accounting Strategy……………………………………… 29 Quality of Disclosure…………………………………………………………………… 30 Screening Ratio Analysis….…………………………………………………………. 33 Revenue Diagnostics………………………………………………………………….. 34 Expense Diagnostics…………………………………………………………………… 37 Potential “Red Flags”………………………………………………………………….. 39 Undo Accounting Distortions……………………………………………………….. 41 Ratio Analysis………………………………………………………………. 44 Liquidity Ratio……………………………………………………………………………. 44 Profitability Ratio……………………………………………………………………….. 56 Capital Structure...
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...honest it may seem simple but it actually a little there is a little more to it, so let us examine this little further. First let us start with describing the firms in the proposed merger. Yes, as it was mentioned beforehand that they came but Office Depot and Office Max wanted to be better competition against Staples who in 2011 was the big tycoon. Well it gets better for Office Depot and Office Max because those that are in charge with keeping up with annual sales and revenue figured that Office Depot and OfficeMax, the second and third largest office-supply chains in the U.S., agreed in February by combining a $1.17 billion deal after losing sales to online rivals and to Staples. They said the merged company would have more than 2,100 stores and combined revenue of about $18 billion compared with more than $24 billion in sales for Staples, the largest office-supplies chain. http://www.bloomberg.com/news/articles/2013-11-01/office-depot-merger-with-officemax-wins-u-s-approval. Even Staples was forced to change their strategy when it came to selling products by having and online website. It would prove here today that was one of the...
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... This, in turn has left Office Depot struggling to offer competitive pricing, selection, and services to our customers. A recent trend shows that the rapid growth of the Internet has caused consumers to make a shift toward online purchases over in-store purchases. In this memo, I will explain how we will use this trend to our advantage. I will also explain how a reduction of brick-and-mortar retailers, concentration of our e-commerce operations, and the expansion of our private-label product line will drive down costs and increase our sales revenues and operating profits. Current Industry Status The specialty retail industry is dominated by three major players: Staples (39.2% market share), Office Depot (22.9% market share), and OfficeMax (13.5% market share). However, the dominance of these three companies has been waning within the recent years. The start of the recession triggered competitors from other retail industries including warehouse clubs, grocery stores, discount stores, and shopping supercenters to carry office supplies at lower prices. In response, office supply stores have been forced to reduce their prices, taking a loss, in hopes of attracting customers for big buy purchases. These newly emerging external companies have been successful in offering customers a one-stop location for all of their daily necessities...
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...number of stores, first in average sales per store, first in average weekly store sales, first in total delivery sales and first in net earnings. Most importantly, Office Depot is the lowest price competitor among office superstore chains. Staples is the second-largest office superstore chain in the United States; and the third major player in the office superstore industry is OfficeMax. The intense competitive rivalry between Staples and Office Depot turned to be quite beneficial for consumers. Both competitors had to reduce prices, introduce innovative approaches to marketing, distribution and store layout and expand into new areas of the country, bringing increasing numbers of consumers the convenience of one-stop shopping at low prices. Office Depot has been the most aggressive and lowest-price competitor, in turn forcing Staples and OfficeMax to compete more aggressively. Staples' office supply prices are the lowest in the cities where all three of the national office superstores (Staples, Office Depot and OfficeMax) compete. Prices are higher in markets where the only other competitor is OfficeMax and higher in those areas of the country where Staples faces no other superstore rival. Similarly, Office Depot charges significantly higher...
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...Psy206-1004A-101 Aspects of Psychology Unit 1 IP1 Kevin J. Penn September 10, 2010 American InterContinental University Online Abstract The following compares and contrast of Naturalistic Obersavation and Correlational research. Which includes the research techniques reliability and validity strengths and weakness and generalizability. There are many different ways of collecting information and data to compare different types of things that happen from the past, present and to help predict the future. The research methods that I have compared are Naturalistic observation and Correlational research method. Like any thing else that they are more than one way of obtaining something there are differences and similarities that researchers can use to help them obtain their objective. The correlational research method is one in which the facts are utilizes facts to form links with an assortment of dependent variables. In most cases it is the one that is used first to give a basis before experiments can begin. There are three types of correlational research, observational, survey, and archival (Schmidt, 2000). Observational research includes items that can be tangibly recorded, for example, reporting for work and production. Survey research refers to the statistics that can be found by questioning subjects; for example, comparing the associations between couples who live together and divorce rates (Schmidt, 2000). Archival research deals...
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...Nissa Lewis William Carey University Contemporary Psychology 2 Abstract The definition of psychology has changed as the focus of psychology has changed. At various Times in history, psychology has been defined as the study of the psyche or the mind, of the Spirit, of consciousness, and more recently as the study of, or the science of, behavior. Perhaps, Then, we can arrive at and acceptable definition of modern psychology by observing the activities Of contemporary psychologist. These are just a few of the activities that engage contemporary psychologists. Clearly, no single definition of psychology can take into consideration the wide variety of activities engaged in by the more than 148,000 members and affiliates of the American Psychological Association, not to mention the many other psychologists around the world. Contemporary Psychology 3 Introduction to Contemporary Psychology The definition of psychology has changed as the focus of psychology has changed. At various times in history, psychology has been defined as the study of the psyche or the mind, of the spirit, of consciousness, and more recently as the study of, or the science of, behavior. Perhaps, then, we can arrive at and acceptable definition of modern psychology by observing the activities of contemporary psychologist. These are...
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...College Material Appendix E Peer Perception Survey Rational: You often give people a certain perception of yourself without intending to or even knowing about it. The intention of this survey is to help provide insight on how others perceive you, so if you are giving others an unintended impression, you have the opportunity to change your behavior. This is a powerful tool and the first step in ensuring that you are communicating in the manner intended. Instructions: Write your name in the first blank of the following survey and then distribute it to three to seven people whose opinion you value and in whom you trust. They can be friends or acquaintances; the most important thing is that they be someone who provides you with an honest opinion. Their names need not be included on the survey form. Collect the survey forms and then use them to complete this week’s assignment as outlined in the course syllabus. PEER PERCEPTION SURVEY Instructions: _________________ has asked you to fill out this survey to help him/her better understand how he/she is perceived by others. Please answer the following questions regarding your perception of him/her. Be sure to include an answer as to what particular observed behavior has led you to form such impressions. Honest responses are the most helpful and there is no need to include your name on this form. Thanks for your time. 1. I perceive him/her to be ___________. A) self-confident B) insecure Based on what observed...
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...(Definition of learning) The EYFS Practice Guidance glossary defines assessment: ‘Through observing children... practitioners can make professional judgements about children’s achievements and decide on the next steps in learning’. As a generic description for working with children from birth to five, this clarifies the purpose of assessment. Within my provision the assessments we use to observe the development of our children are. • Tracking sheets… • Baseline Assessment sheets is a legislation document which is a bench mark for the milestones of each child. • Home visit welcome packs… • Observations long/ post it notes which is written/verbal which is a form of assessment used with parents/ carers staff and child to aid their learning where they are at and where the need to be. With out this the evidence we cannot say the child is at this level. • I would like to share observation sheets to go home so that if the child has a special occasion they would like to share from their weekend with staff and their friends in nursery. This helps with the child to show and tell helps them to open up if shy or has low self esteem and to make them feel special which encourages the child to talk in front of others. • Learning journeys… work in partnership with parent cares. Cover 6 areas of learning and next steps. • The CAF is a standardised approach to conducting an assessment of a child's additional needs and deciding how those needs should be...
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...Observation The student is considered a novice as an observer of children. The student observes children to gain practice and understanding in child development. Students have an obligation to protect children and respect school personnel. Observers are usually visitors in the classroom. The observer must keep in mind that they are a disruption to the regular processes in the classroom and they should respect the classroom teacher’s direction. The protection of the child’s rights in any type of child study is important. Regardless of the procedure used to collect information, the child’s protection is paramount. The child must not come to any harm (physical or mental) through participation in the observation process. Confidentiality must be utilized at all times. Talking about children and families with others outside of class or with the classroom teacher is prohibited. Please use fictitious names in written reports. Any concerns about a child’s safety should be addressed immediately with the classroom teacher or other responsible party. Observation tells us about children’s behavior – what they are doing. If we want to understand children’s development in school settings then we should observe them in those settings. Observation that takes place in a natural environment is referred to as naturalistic observation. Qualities of a Good Observer: · Recognize personal bias and preconceived assumptions about children. · Stay focus for a long period...
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...Infant Observation Name of Child - Cyan Child’s Age - 10 Month After observing a tenth month old child for this Child Observation paper, I had taken many notes during the observing. The Purpose of this paper is recognizing the Physical, Cognitive, Biological, Social and Emotional development of the child. The child chosen for this child observation paper is a tenth month old male Cyan, who appears to a healthy normal child. His mother is half Indian and father is Indian. Mother and father are happily married. He lives in the hcyane with grandmother, mother, father, aunt, uncle an older female cousin who is three. Cyan comes from a middle class background and has no siblings. The author of this paper observed him in the living room of his home. His mother kept all of his toys spread out on the floor in the middle of the room so that the author of this paper could observe him while he plays. Cyan had many toys such as blocks, plush toys, rings, keys, a stationary jumper and a toy that is designed to help the child learn to walk. Erikson’s Psychosocial Stage : Cyan is in Trust VS Mistrust. Cyan is able to crawl across the room. He is able to stand and walk with the assistance of a piece of furniture. He is able to pull himself up from the sitting position holding on to the coffee table. Once he stands straight up he is able to walk around the table while holding on. He is able walk around the room if he is holding on to the toy that is designed to help an infant learn...
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...Caught your eye yet? : The connection of how spending money comes and its tricky disguises. Ever walked in to a store and saw that huge highlighter colored sign announcing “Big Blowout SALE”? They are pulling you in with things that attract you the most. From posters, human advertising, to the most innocent thing, the Barbie Doll, they are catching your eye and reeling you in and you’re unaware. Many businesses have learned the “Science” of how to arrange items so they may catch your attention. Paco Underhill, a retail anthropologist and an urban geographer, studies shopping behavior and has become valuable guides to store managers who look for the best ways to sell items. I am shocked to know that there are people who watch others for a living. As you approach a store look around and see if there is someone suspicious. Look around to see if you are being watched. Have you ever felt as if you were being watched? That is because they are watching you! Everything you are doing in the store is being observed. Strange is it? Yes but that is someone’s job. What you pick out and how you take in the item is all a part of their plan. Your choices matter in a study that you have no idea about. Your facial expression, happiness, and your disappointment makes a big deal also. The Credit Card Barbie is another marketing disguise. Barbie is, in a way advertising to younger age group. This is catching the eyes of your children and showing the fun and happy side spending...
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... 54. __C___ __D___ 55. _ C____ __B___ 56. __C____ __D___ __B____ __D_ __A___ ESSAY ANSWER SHEET- Take as much space as you need to answer each question. Provide concise answers in your own words. Do not cut and paste from other sources. 57. Step 1 – Observe all brands of whitening strips and proposed claims made by companies and decide which brand I feel would work best. Step 2 – Propose a hypothesis, stating which brand I feel would work the best. Step 3 – Test the hypothesis with observations. I would use 4 sets of teeth. One set would be my control group. This would not be tested with the whitening strips. The other three sets would be tested, one whitening strip per set. These three sets are my experimental groups. The variable is how white the teeth in each set get over the course of the experiment. Step 4 – Analyze the data. Make observations and record the data using statistics. Step 5 – Form a conclusion based on statistics and explain whether the conclusion matches the hypothesis. 58. a) Solution C is Hypertonic....
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...Running head: Applying Problem Solving Applying Problem Solving University of Phoenix Cultural Diversity PHL/215 Heather Hensell Applying Problem Solving When we face emergencies, deadlines, critical situations, and decisions, which call for action, often we respond to our instinct and just as often we make judgments in haste. No matter if the issues are personal, educational or business, occasionally we do not take the time to consult with those "who have been there, done that!" At times we do not investigate the resources available. In problem solving, following guidelines can save time and heartache. How effectively we use these guidelines will determine our chances for a positive resolution to the problem at hand. First, identify and clarify the problem; we must know the problem to solve it. Second, gather information; we must know all the details to come to the correct solution. Third, evaluate the evidence; things are not always as they seem, determine if the information is justifiable. Fourth, consider alternatives and implications; identify the strengths and weaknesses. Lastly, choose and implement the best alternative. In this paper I have chosen two situations that I will use persuasive thinking to solve the problem and the other I will use scientific thinking. The first problem that I will discuss is Racism, which can be defined as the hatred of one person by another or the prejudice that members...
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...among the people studied. This hands-off research style requires the scientist to have discernment to remain oblivious, account for instances when their presence can affect the behavior and, as other studies, discipline to remain strictly not bias. The first component in this style of research is naturalistic observations, which is for the scientist to be present, but not involved in the study. This observation can be firsthand through one’s own eyes or even by way of media such as a recording of the activity exemplifying the behavior to be measured. As a side note, these styles are particularly interesting when investigating cross-cultural interactions. Observers would try to remain oblivious to the study and take notes about the study’s mannerisms and character directly related to the behavior they are currently observing. Note taking has to remain, as always, precise and, in time, leading to some conclusions testing a hypothesis. This study can be conducted consistently pending the behavior and specifics of the study group. The second approach is participant research where the scientist is actively infiltrating the group studied for firsthand observations. This approach is the most beneficial as it empowers the scientist to collect the experience from a common view and filter it through scientific rationale. This view also is not in a controlled setting, so a raw experience, which may not even be able to be reproduced by the scientist, can be measured and...
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...clinical setting. If this information is not gathered by the clinician a misdiagnosis could be made. Subjective data may include information about the patient’s personality, behaviors or a patient’s reaction to information that cannot be directly from the patient due their inability or reluctance to speak with clinician directly. As an example, if a patient who did not present personality disorders in fear might be diagnosed as having a social phobia. A patient not being truthful has very serious consequences and one could not get the appropriate treatment needed. 2) Personality disorders can be similar to each other. There are several symptoms that overlap between different disorders in DSM listings. A clinician’s personal observation could misdiagnosis between one of these two disorders if the clinician relies only on information gathered in a clinical setting. Disorders such as obsessive-compulsive, anxiety, and personality disorder have many symptoms that are alike. If this was the case a clinician could misdiagnosis and treats the patient incorrectly giving improper medication and the wrong types of therapy. 3) People with different personalities can be given the same diagnosis The DSM-IV could be interpreted as...
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