Starbucks Case Study: Increasing Customer Satisfaction and Loyalty

Case Study Starbucks
Starbucks
Case Analysis
Table of Contents
Business context About Primary Issue Sub–issue
Causes and Difficulties
Analysis
Growth SWOT Consumer Gratification Marketing/Product Mix
Service innovation
Product innovation
Reccomendations
Business content
The objective of this case study is to analyze why Starbucks was not meeting expectations in terms of customer satisfaction thereby losing customer
loyalty. Whether or not to invest millions of dollars ($ 40 million) in each store to enhance the labor. How will it impact the sales and profitability if
invested? Product mix and marketing approach will also be recommended in this paper.
About...show more content...
Product innovation
The company's most successful innovation was 1995's introduction of a coffee and non–coffee– based line of Frappuccino beverages
The bottled version of the beverage became a $400 million franchise
New products were launched frequently for example introduction of at least one new hot beverage every holiday season.
The new product development process operated from 12 to 18–month cycle
Recommendations
To increase customer satisfaction and loyalty, huge investment of $40 million should be made In order to increase the speed of service which was one
of the main concerns due to customization of drinks. A strong strategic marketing group is essential to collaborate the efforts of marketing group,

marketing research group and category group. Improving the metrics will help in better measuring of service
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Table Of Contents . Introduction.
Table of Contents Introduction. ......................................................................................................................................... 3 Evaluation of
Contract....................................................................................................................... 3–4 Elements of
Contract......................................................................................................................... 4–5 Valid
Offer................................................................................................................................................ 5 Potential...show more content...
Despite the fact that providing widgets from private suppliers is highly recommended in the most situation for multiple grounds, my role is to
examine and provide her different selections that would be more relevant and applicable to Gloria Smithson 's case. To ensure what best fits for her
case, we will be testing a proposal that is coming from the same state as where Gloria's business is currently located together with the remaining two
proposals that are coming from other countries. Every proposal is supposed to provide a strong component as well as probable weak points. We will
also advise that it is best to take thorough studies and analyze every component to ensure that we provide the best option for our customer. To begin
with, we will evaluate if the recommendations we have in our hands constitute an offer. We also need to ensure that there must be a valid contract
involved in order to be considered as enforceable. According to the textbook, (Cheeseman, 12/2013, p. 176), a "valid contract" must meet 4 essential
elements in order to establish and maintain valid. The four essential elements are the following: 1.Agreement 2.Consideration 3.Contractual capacity
4.Lawful object Elements of Contract Agreement Agreement is mutual assent by both parties There are offers and acceptance involved Offer must be
well acknowledged by the offeree Consideration Consideration is involved during the exchange of

Table of Contents
I.Executive Summary2
II.Introduction2
III.Assumptions2
IV.Network Design & Justification4
Components
Levels & Layouts
Training
Security
Data Management (servers)
V.Recommendations9
Cost effectiveness vs Efficiency
Expansion
VI.Conclusion9
VII.Appendix10
Appendix A:
Appendix B:
VIII.References11
Executive Summary
Introduction
The network for which the Public Relations Company (PRC) requires is one which uses the variety of technologies which will facilitate the
company's employees. The use of the network will increase workflow and efficiency when dealing with clients allowing more feasibility in sharing
data and using devices such as printers, projectors and OLED TVs. This is a project network design...show more content...
As another resort the BYODs on the first level are able to connect to the network via a powerline adapter if they feel the need to have a physical
connection to the network via a Cat cable from the powerline adapter.

2.Assuming that they don't use telephone communications rather they use the network internet as communication through their own or companies'
mobile devices to communicate within the company or externally within protocol.
3.Assuming they don't need security cameras or Bio security in the server room which would be an added cost which would depend on how much
expenditure the company is willing to invest into physical security. Thus I have left out these components in my diagram.
4.Wireless modems today mostly come with firewalls pre–installed, I have assumed for simplicity that the modem does not have a firewall and have
placed one in the diagram in between the internet and the modem to show to Rebecca that there is protection for the network from malicious sources
on the internet.
5.Since the senior staff have structural constraints I have assumed that can ascertain Wi–Fi connection via a Wi–Fi booster which will have 5Ghz speed
enabled for their large data transfers across the

Course Project
Oracle is one of the leading companies in the software and hardware industry. Oracle develops, manufactures and distributes various kinds of software
and hardware systems worldwide. The company was founded in 1977 and is headquartered in Redwood City, California. Oracle currently has about
108,000 full–time employees worldwide. Microsoft Corporation develops, manufactures and distributes a range of software products and services for
various computing devices worldwide. Microsoft also manufactures gaming systems such as Xbox 360 and related entertainments systems. Microsoft
was founded in 1975 and is headquartered in Redmond, Washington. Microsoft currently employs about 90,000 full–time employees worldwide.
Liquidity: Tootsie...show more content...
Microsoft's Return of Assets Ratio of 21.2% is better than Oracle's 13.4%. Finally, Microsoft's Return on Common Stockholder's Equity Ratio of
39.5% is better than Oracle's 26.8%. However, Oracle does have a higher Price/Earnings Ratio of 23 vs. Microsoft's 20 which means that the stock
market is more optimistic about Oracle's future prospects. However, the P/E Ratio of Oracle is not significantly higher than Microsoft so Microsoft
still is a better company given all their Profitability ratios. Conclusion: Tootsie Roll is the safer investment when you examine the liquidity and
solvency ratios; however, Hershey has the edge for two significant profitability ratios. These ratios are return on common stockholders' equity and the
payout ratio. The stock market also is more optimistic about the future of Hersheys. That said, I would invest in Tootsie Roll because of their fiscal
strength. Conclusion: Microsoft is the safer investment when you examine the liquidity and solvency ratios. Also, Microsoft has the clear advantage
when you look at the profitability ratios of both companies. The stock market is more optimistic about the future of Oracle given the P/E ratio
however Microsoft's P/E ratio is not much lower than Oracle's. Hence, I would certainly invest in Microsoft because of their fiscal

TABLE OF CONTENTS: INTRODUCTIONS.................2 METHOD............................3 DIETARY ANALYSIS.............4
DISCUSSION.......................6 PREDICTIONS......................7 RECOMMENDATIONS..........8 CONCLUSION......................9
SOURCES..........................10 APPENDICES.....................11 1)Introduction Obesity is a health crisis which is defined as "the abnormal accrual of
body fat, usually 20% or more over an individual's ideal body weight."1 Obesity is a commonly expressed disease that heavily impacts a great deal
of Australians. Approximately 63% of Australian adults are overweight or obese.2 The number of obese adults has increased by a dramatic 10% from
1995. This has a direct correlation to dietary and exercise behaviours, and can be related to the Ottawa...show more content...
Not accumulating the recommended nutritional dietary needs or appropriate daily physical activity, can account to health issues, like obesity. Not
achieving these needs can be directly affected by the Ottawa charter. Definitions: 1)Hypertension is high blood pressure. 2)Diabetes mellitus is a
condition in which the pancreas no longer produces enough insulin or cells stop producing insulin, causing a lack of energy consumption for cells.
3)Hyperlipidaemia is an excess of fats or lipids in the blood. 2)Method My Fitness Pal was used to gather data on my 5–day meal plan. It provided, my
personal statistics compared to the recommended nutritional proportions (RDI). My breakfast, lunch and tea was imputed into the system for 5–days
and out putted the graphs. These results will be analysed below. 3)Dietary Analysis My current dietary behaviours consist of having an above the
recommended daily averages in categories, like saturated fat, protein, kilojoules and carbs. This can be caused by poor nutritional choices. My
nutritional behaviours can be affected by the lack Developed personal skills and a lack of a supportive environment. One of my weaknesses is my
saturated fat levels, having high levels of saturated fats is caused though the consumption of saturated fats,

Business Environment
TABLE OF CONTENTS
1.1 Identify the purposes of different types of organisation pg.3,4
1.2 Describe the extent to which an organisation meet the objective different stakeholders pg.5
1.3 Explain the responsibilities of organisation and strategies employed to meet them pg.6,7
2.1 Explain how economic systems attempt to allocate resources effectively pg.7, 8
2.2 Assess the impact of fiscal and monetary policy on business organisations and their activities pg.8, 9
2.3 Evaluate the impact of competition policy and other regulatory mechanisms on the activities of a selected organisation pg.10
3.1 Explain how market structures determine the pricing and output decisions of businesses...show more content...
All company assets belong to the company and not to its owners. The owner of company they have shareholder.
Franchising is a business in which the owners or franchising sell the rights to their business. The franchising must first pay an initial fee the rights to
the business, training and the equipment by that franchise.
1.2 DESCRIBE THE EXTENT TO WHICH AN ORGANISATION MEETS THE OBJECTIVES OF DIFFERENT STAKEHOLDERS
Definition
A stakeholder is a person, group or organisation that has interest or concern in an organization. Stakeholders can affect or be affected by the
organizations actions, objectives and policies. Some examples of key stakeholders are creditors, directors, employees, government (and its agencies)
owners (shareholders), suppliers, unions, and the community from which the business draws its resources .Not all stakeholders are equal.
Stakeholders are individuals groups where they have an interest in how the enterprise performs because it affects them in some way. Every organisation
has their types of stakeholders groups:

* internal stakeholders (employees, management)
* connected stakeholders (shareholders, customer, suppliers, financiers)
* external stakeholders (the community, government)
The internal stakeholders are the groups which are connected with the organisation. They it's interested to continue the existence of the company (e.g.
Owners and workers).
The external stakeholders are a party such

Apple
Table of Contents
Table of Contentsi–ii
Executive Summaryiii
1. Background of Apple Inc.P.1
2. Apple Inc.'s Brand Development Decision
1. Brand Identity
1. Salience dimensionP.2
2. Brand Meaning
1. Performance dimensionP.2–3
2. Imagery dimensionP.4
3. Brand Reponses
1. Judgments dimensionP.4–5
2. Feelings dimensionP.5–6

4. Brand Relationship
1. Resonance dimensionP.6
3. Marketing mix
1. Product.......P.7
2. Price.........P.7
3. Place.........P.8
4. Promotion.........P.8
4. Brand Value Chain
1. Marketing Programme InvestmentP.9
2. Customer 'Mindset'P.9–10
3. Market PerformanceP.10...show more content...
So, the prices of their products are generally higher than its competitors. However, making complex things easy and elegant is the one thing that
Apple Inc. does very well. Also, the performance and quality of Apple products have been very consistent over long periods. For instance, Apple
Inc. creates products and also launches a search engine against Google to become the world's number one valuable brands. Apple Inc. has a great
profit in last year because of their policies which they changed to increase their brand value. Apple products keep changing and developing hence this
keeps the price range on the same levels over the years. So, Apple might producing and selling their older products at cheaper prices. [pic]
2.2.2Imagery dimension
Apple products can give its users an unique identity that other brand's products are fail to convey. This is because Apple is one of the few brands that
genuinely inspire love and concentrated on selling the brand rather than the products.
Apple has identified that itself as a company that started from scratch and all of its products are grew to something amazing. However, Apple shows
that great things are possible in the shortest time scale through innovation.

Apple cares about its customer's perception. Therefore, it builds brand image based on the experience it provides to the customers purchase process.
This

INVESTING IN STOCK:
BEGINNER'S GUIDE
Table of Contents
Introduction3
What is Stock?4
A Piece of Business in a Stock4
The Universal Shares of Stock5
Remember Things You Have Learned on Stocks5
Making Money from Stock Investment6
It is Simple and I Mean It6
Investing in Stock: Simple, Yet Complicated6
Making Money from Investing in Stock, for Real7
Stock Investment Strategies8
Buy and Hold8
Market Timing8
Growth9
Value9
GARP9
Quality10
Income11
Dollar Cost Averaging11
DRIPs and DSPs11
Dogs of the Dow12
Contrarian13
Insider Activity13
Other Stock–Investing Strategies14

Conclusion15
Introduction How can I grow my wealth? Can I retire from my job early without losing income? What about my family? Can I spend my time with
them even if I retire early?
I am interested on the fact that this question is probably the most common question we all hear. People ask and they get the 'answer,' but not all of
them are satisfied with the answer they get. Similar questions keep rising and even if they are satisfied with the answer, they probably have no idea
about how they should start. This book ends your journey of asking those questions, as I will tell you the key of your dream life: stock investment.
You may have heard it often, yet you just let it passed. This time I will make sure, it will not happen again. I will make it part of your new life. You
will learn about stocks, its definition, working scheme, and making money from investing

Table of Contents
Preface
xiii
PART ONE
The Strategic Human Resource Management Model
2
Chapter 1
Strategic Importance of Human Resource Management
Chapter Objectives
Challenges Facing Canadian Organizations
Spotlight on Ethics: What Is a "Right" Behaviour?
Objectives of Human Resource Management
Strategic Human Resource Management
The Organization of Human Resource Management
The Human Resource Management Profession of the Future
The Framework Used in This Book
Spotlight on HRM: Will the 21st Century Belong to Canada?
Summary
Terms for Review
Self–Assessment Exercise
Review and Discussion Questions
Critical Thinking Questions
Ethics Question

Web Research
Incident 1–1: Human Resource Decision Making at Calgary Importers Ltd.
Incident...show more content...
Ethics Question
Web Research
Incident 5–1: Ontario Electronics Expansion
Case Study: Maple Leaf Shoes Ltd.: A Case Study in Recruitment
Case Study: Canadian Pacific and International Bank Evaluating
Recruitment Function
192
192
194
197
202
207
215
218
221
224
224
225
226
226
227
229
229
230
231
Chapter 6
Selection
Chapter Objectives

Strategic Significance of the Selection Function
Spotlight on Ethics: Selection Practices Must Be Ethical
Steps in the Selection of Human Resources
Employment Interview
Spotlight on HRM: Long–Distance Interviews
Evaluating the Selection
Summary
Terms for Review
Self–Assessment Exercise: How Do You Fare as an Interviewee?
Ethics Question
Web Research
Incident 6–1: A Selection Decision at Empire Inc.
Incident 6–2: National Food Brokers Selection Process
Exercise 6–1: How Do You Select Your Friends?
Case Study: Maple Leaf Shoes Ltd.: Selection of a Human Resource Manager
Case Study: Canadian Pacific and International Bank: Evaluating a New Selection Test
Part Ending Video
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239
262
268
275
277
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280

280
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285
286
www.mcgrawhill.ca/olc/schwind
vii
TABLE OF CONTENTS
Appendix A: Utility Analysis
Role–Play 3: Selection Interview
PART FOUR
Placing, Developing, and Evaluating Human Resources
287
289

Beyond Budgeting Vs. Traditional Budgeting
Beyond Budgeting
Traditional budgeting processes are increasingly being viewed as obstacles to progressive managers in the control and management of their companies.
Financial statements made using traditional procedures are often too complex, long, inflexible, cannot be adopted in the market quickly, and
demotivates people in organizations in their performances. Traditional budgeting also requires a lot of effort to make hence the need of new budgeting
systems. This is how beyond budgeting concept came into being as accountants sought for new accounting strategies that are more vibrant and able to
steer business organization to success through focused budgets. The changing business environment has warranted the new budgeting strategies....show
more content...
BB gives businesses a number of advantages that include the provision of more adoptive procedures for accountants to use while preparing their
budgets as compared to those applying in traditional budgeting. The concept decentralizes the budgeting process unlike the traditional processes where
business executives have always controlled and managed their organizations. The BB uses the entire management in the budget making process, which
in turn enhances the performance, and management processes of organizations (Shim, Jae, and Joel 34).
Evaluation of budgeting processes
Business budgeting began in the early 1920s when the businesses started managing their cash flows and costs. By the 1960s, the businesses used
budgets as contracting procedures between their management and subordinates about the performance of their organizations. Budgets were initially
used as the tools for determining future incomes and expenditures, which was the primary concern for businesses then. Budgets were used as the key
indicators for evaluating the performance of managers until the economic pressures of 1970s changed the competitiveness of the companies. Since
then, various businesses have been operating in very volatile environments with modern business environment being very challenging to the businesses
(Shim, Jae & Joel 1994). There were many expectations from the shareholders of businesses who expected them to be on top in terms of everything
from profits,

Course Project
Course Project Week 3
Shimere Alexander
MIS535
Managerial Applications of Information Technology
Professor Wayne Freer
January 27, 2013
Subject of Course Project
The purpose of this course project is to address the ongoing issues surrounding my companies, REI (Recreation Equipment Inc.,) inventory
management issue and to see if we can find a software program better suited to the companies needs. The goal is to find products quickly and efficiently.
Customer satisfaction is key to driving sales and profit in any company. As a result a software upgrade is certainly needed in order to compete with
other companies in the same industry.
Name of the Company REI is a...show more content...
General Benefits for Company/Audience By taking this approach I believe that not only will the company itself benefit from the changes but the
customers and employees as well. From the company side of things, they would see a higher profit margin from customers who would consider
placing more orders. They would also see a drop in cost's as far as employee payroll is concerned and telephone cost's. Customers benefit by now
having less time spent waiting for an item to be located, instead being readily available. When this occurs they are more inclined to come back and
make similar purchases instead of going elsewhere because turnaround time is much quicker with less hassle and uncertainty on their part. Employees
would be able to focus more on customer's in their store and less time on phone lines or tracking down product's. This eliminates customer
dissatisfaction in stores and allows sales to grown since more customers would stay and shop as oppose to leaving angry for lack of

Globe And Mail Case Summary
The main problems of Globe and Mail's management are that the subscribers are unable to access the database of the company as because the data
which remain in the databases are completely fragmented and it is difficult to access in the multiple systems. The security system has also started to
malfunction; it stores the subscriber's online payment information into its databases. The root cause is the poor data management and in this way, the
business impact is also losing its effectiveness to sustain an operational efficiency performance for the subscribers.
Q2
The databases are required to be accessed very properly; the broken or fragmented data needs to be recovered. For querying and reporting purposes the
data should be easily accessible

Course Project
Student Project Activity – Week 1 A. Week 1: Section 1.0 Executive Summary B. TCOs Addressed: TCO 10: Given a description of a new business,
new product, service or project develop, present and defend the budget. C. Project Activity Overview – Scenario / Summary: You have been asked to
create a budget proposal for one of these businesses: Papa Geo's Restaurant, The Cutting Edge Landscaping, or Wireless World Electronics Retail
Store. This week you will begin working on the proposal by drafting the Executive Summary. Use the Budget Proposal Template.docx. D. Deliverables:
Save the first paragraph of Section 1.0 Executive Summary Draft as...show more content...
TCO 10: Given a description of a new business, new product, service or project develop, present and defend the budget. I. Project Activity Overview –
Scenario / Summary: Last week, you selected a business for which you'll make a budget proposal. Your first step is to create a sales forecast (in
sales dollars) when no historical data is available. Use methods such as historical analogy, expert judgment, consumer surveys, the Delphi method,
or calculations based on population distributions, estimated growth rates, or expected market penetration rates to arrive at reasonable sales
figures for your business for the next 5 years. Use the Budget Proposal Workbook.xlsx and Budget Proposal Template.docx. J. Deliverables:
Complete Section 2.0 (including sections 2.1 and 2.2) in the Budget Proposal Template.docx after doing research and performing calculations to
arrive at your 5 year forecast. Also, provide calculations in the Budget Proposal Workbook.xlsx. Add section 2.0 to your Budget Proposal Template
and save it as Project_WK2.docx. Save your sales forecast in the worksheet tab labeled Section 2.1 and 2.2 as Worksheet_WK2.xlsx and upload both
files to the Week 2 Project Dropbox. K. Project Tasks: Task 1:| Download Budget Proposal Workbook.xlsx from DocSharing.| Task 2:| Research the
area in which your business is located, and do calculations in the

Table of Contents
Table of Contents1
Background2
Business Corporate Strategy2
IT objectives3
IT initiatives4
1.Enhance user involvement4
2.Make IT an integral and strategic partner5
3.Standardize Reports5
Problems3
Recommendations6
Appendix7
References8
Background
Caterpillar Tunneling Canada Corporation (CTCC) previously known as Lovat Inc. was a major tunneling technologies provider based out of Toronto,
Canada and employed around 330 staff members. U.S based Caterpillar Inc. acquired Lovat Inc. in 2008 and renamed it to CTCC. CTCC specialized in
designing and manufacturing tunnel boring machines namely TBM's. In 2010, the company was selected to undergo an ERP implementation to attain
business process...show more content...
To aid financial and performance reporting in the company, its objectives also include achieving a harmonious user adoption of theBusiness Intelligence
technology across all departments within the firm. IT department also aims to support and maintain the IT operations including software installations,
network security, and telecommunications. Another major IT objective is to build a formal assessment process for company's overall information
management requirements, which will help in leveraging parent company's IT resources. All these IT objectives align with and in turn, will help
achieve the business objective of seamless integration.
Problems
The acquisition of Lovat gave rise to many challenges for the parent company. Caterpillar tried to implement standard procedures, project management

practices and SAP platform. This caused many problems. The major problems were data inconsistency and uneven reporting. Another problem was
inconsistency in procedures. Caterpillar had standard procedures but CTCC handled each project as an independent entity. It was run as a family
business, thus standardization of procedures across the organization posed a major challenge. Acceptance of BI platform across the organization was a
problem since managers were divided. There was no consensus among multiple departments.
Some teams were willing to use BI platform for decision–making and reporting and but

BARILLA CASE REPORT
Table of Contents
Executive Summary
Part 1 Executive Summary
Issue Identification
Part 2 Fundamental Issues Part 3 Systematic Issues
Environmental & Root Cause Analysis
Part 4 Qualitative and Quantitative Analysis
Alternatives and or Options
Part 5 Alternatives
Recommendations
Part 6 Recommendations
Implementation
Part 7 Recommendations and Implementation plan

Monitor & Control
Part 8 Monitor & Control Part 9 Conclusion
Part 1 Executive Summary
I realized that Barilla is confronting with huge fluctuation on its production...show more content...
5.No minimum or maximum quantities:
Nature: Strategic Timing: Long term and Short term
There is no restrictions on customers' order quantity, which may has caused price fluctuations among distributors and as well as Barilla over produced
unnecessary inventory only to satisfy some distributors who wants to have lower price by ordering more quantities at a discount.
6.Long order lead times:
Nature: Strategic Timing: Long term and Short term
Most distributors placed orders with Barilla once per week, Barilla started to ship products out after average 10 days orders were received. This long
order lead time caused distributors to order more products than they really need.
Part 4: ENVIROMENTAL AND ROOT CAUSE ANALYSIS
Barilla has a market share of 35% in Italy and about 22% in Europe and is considered by consumers to be a high quality manufacture of pasta and
other pasta related products.
Barilla manufactures two product categories: fresh products represent 25% of production and 75% for dry products. Barilla owns its transportation
system so after orders are received and production is complete, nearly two–third of Barilla's dry products were destined for supermarkets; these
products were first shipped to one of Barilla's CDCs, from which they were purchased by distributors. The distributors in turn shipped the product to
supermarkets. The

Bp Pestle Analysis
5th February 2010 Beyond Petroleum Business Economics Assignment Student I.D: 1331260 Table of Contents 1. Abstract 2. Introduction 3.
Political 4. Economical 5. Society 6. Technology 7. Law 8. Environment 9. Conclusion 10. Appendix 1 11. Appendix 2 12. Appendix 3 13. Harvard
Reference Abstract: BP is a British global energy company and is the 4th largest company in the world. This report is in relation to BP's profitability,
product development, market power and placement. The report uses PESTLE analysis to investigate these areas providing an insight to the successes
and failures of BP during recent years. It covers the failures of Russia which has been a failure in...show more content...
BP operates about 10,000 miles of pipelines, making them the second–largest liquids pipeline company in the US. At sea, a fleet of BP–owned and
chartered tankers move their products around the globe. Society: "We have a serious problem," said George W. Bush in his 2006 State of the
Union Address, "America is addicted to oil, which is often imported from unstable parts of the world." although not capturing the extent of the
problem, Bush was correct, the US is in front of a huge difficulty in the form of its dependence on oil. The attitude was echoed in Obama's first
address as President, when he said "America's dependence on oil is one of the most serious threats that our nation has faced. It bankrolls dictators,
pays for nuclear proliferation, and funds both sides of our struggle against terrorism. It puts the American people at the mercy of shifting gas prices,
stifles innovation and sets back our ability to compete". http://americanaffairs.suite101.com/article.cfm/us_oil_dependence. The USA consumes
20.8 million barrels of oil a day, or around a quarter of the world's daily oil use. The cost of a barrel of oil at around $50, American daily oil
consumption is worth around $1 trillion on the global market. This is an enormous expenditure, but, bearing in mind that the price of oil topped $147
a barrel in July 2008, the prospect of greater spending for oil is

Green Works Executive Summary
Executive Summary: Decreasing revenue for our Green Works product line puts us in a conundrum. Do we continue pouring advertising dollars into a
product with a majority market share but unimpressive returns, or should we stop, thus sacrificing our desirable position in a market with massive
growth potential?
Strategic Alternative One: Market Green Works extensively.
Relevant Facts:
53% of consumers expressed desire to switch to eco–friendly products as of 2007. In today's more environmentally conscious culture, that number has
probably increased.
A year after launch, Green Works had the largest share of the eco–friendly market (42%) due to the ethos of the Clorox brand, and the quality and price
of the product.
Now that the recession is over,...show more content...
With our projected declines, investing in Green Works may not be the smartest investment decision.
Strategic Alternative Three: Discontinue Green Works and stopmarketing.
Relevant Facts:
Clorox is a massive company and home care products make up 17% of our brand portfolio; Green Works is a small fraction of that 17% (Exhibit 4).
Green Works makes $2 billion in revenues.
There are other strong, well established competitors in the segment.
Main competitors (Seventh Generation, Method) are not producing competitive ads.
Pros:
Having or losing Green Works as one of our brands will not make or break our portfolio.
Terminating this product will free up funds to market and/or invest in other products.
Allows us to invest more in products with immediate returns (i.e. Clorox Bleach).
Cons:
Discontinuing Green Works reflects poorly on our responsible and eco–friendly image.
This will definitively cut out a huge potential for market growth.

We lose our 42% market share in a segment with growth potential.
We would miss an opportunity to take advantage of a market in which our main competitors are not being very competitive.
We would lose $2 billion in terminating Green

Table of contents Outline the contents of the report in numbered sections. Give titles of Appendices. Introduction IAG comprises three of the leading
airlines in the UK and Spain. The combination of these three airlines, each of which operates' significant networks; enables IAG to offer passenger and
cargo customers unique benefits from its larger combined network. IAG continues to believe that retaining the core assets of brands and products in
each of its operating airlines is important to maintaining valuable customer loyalty. IAG has maintained its disciplined approach to evaluating future
inorganic growth opportunities and will only act if it is in the interest of its shareholders. This disciplined approach is reflected in IAG's...show more
content...
The Group operating profit target was increased as a result of the solid 2013 revenue performance of British Airways, together with Vueling
joining the Group. During the year Iberia commenced its Transformation Plan to return it to a viable profitable business, which was a key element
of our business plan. The Group business plan is based on a number of assumptions relevant for the industry, such as economic growth of their key
markets, fuel price and exchange rates. QUESTION 1 Beta is a measure of the market risk of a security or a portfolio in comparison to the market
as a whole. It is used in the Capital assets pricing model (CAPM), which calculates the expected return, and assets based on its beta and expected
market returns. The market beta is set at 1.00 and every stock is calculated by value line based on past stock price volatility. A beta of less than 1
indicates that the security will be less volatile than the market whereas a beta greater than 1 indicates that the security price will be more volatile
than the market. According to IAG the current beta is 0.85 which is less than 1.00 which indicates the security will be less volatile than the market
.As the market return of IAG Company is 10% and beta being 0.85 there is result likely to gain 8.5% market return for low beta issue. Whereas for
company named AA having a beta more than 1.00 there is result likely to have loss of 10% for high beta issue. QUESTION– 2 RM= 10% RF= 1%
RE = Risk free + Beta

Table of Contents
Objective of Financial Reporting2
Single Measurement Approach2
Mixed Measurement Approach2
Breakdown of Woolsworth Measurement Approach3
Our Recommendation4
References:6
Objective of Financial Reporting
Since the core objective of financial reporting is to provide useful information to report users for making and reviewing resource allocation decisions
(Deegan, 2012), it is of paramount importance that these statements are faithfully represented and relevant. The absence of either characteristic will
cripple the decision making process.
Single Measurement Approach
Some companies attempt to meet those characteristics by relying on a single measurement approach. This is because it provides them with higher levels
...show more content...
However, Market values may be exposed to economic fluctuations which may cause assets/liabilities to be under or over valued.
Mixed Measurement Approach
As such, many companies, like Woolsworths, prefer to use a mixed measurement approach as there is flexibility to use more than a single measurement
approach for different situations. Considering the different informational needs of report users, certain measurements may not be suitable to present
information in a useful way (DvoЕ™ГЎkovГЎ, 2009). For example, when there is a need for Woolsworth to predict the cash flows of an operation in
a going concern business, cost accounting or historical costs measurement would be most appropriate, since cash flows should not deviate that much
from previous years. However, when attempting to value prospective investments, fair value measurement would be more appropriate because it is
based on current prices, and is therefore more accurate, which will help us make an informed decision on the future prospects of the investment.
Having said that, a mixed measurement approach presents its own set of problems. Firstly, it can lead to an 'additivity problem'– where there is an
aggregation of data that is measured by different approaches. Also, it undermines the comparability of financial

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