Fin 370 Week 2 Team Assignment Starbucks Hours

2Starbuck’s Revenue ForecastWhen one seeks the understanding of revenue forecast, one must thoroughly understand how the sales channel works and how potential prospects become customers. Entrepreneurs at a higher level are developing a sales forecast for their companies by applying a predictable or desiring market growth rate to the present-day year revenues. The predictions are justified by utilizing the bottom-up forecasting approach, which utilizes inputs such as price, projected product units sold, sales productivity, seasonality, etc. [Hin07]. In this assignment, there will be an explanation for the use of three classifications of ratios: liquidity, profitability, and solvency. Calculations on the current ratio, after tax ROE and profit margins, are present alongside a comparison of the ratios to week one’s overview of financial statement assignment. Use for Classifications of RatiosThe use of the three classifications of ratios liquidity, profitability, and solvency are because the financial ratios reveal the different connections amongst financial statement components. While the financial ratios present historical data, management utilizes these ratios for identifying a company’s internal weaknesses and strengths, plus estimating future financial performances[Hin07]. Those who invest can utilize the ratios to contrast competitors’ organizations within the same industries. This causes ratios to become meaningful when there is a comparison to industry averages and historical data. LiquidityLiquidity defines the level of degree of an asset or security can be sold or bought in the market without affecting the asset’s price [Inv17]. Liquidity’s standard is cash because it can simply convert into other assets. For example, one desires to purchase a $1,000 refrigerator, to obtain it easily one would use cash as an asset. If that same individual does not have cash but

Make sure to use this as a study guide and do not submit as it is. FIN 370 WEEK 3 TEAM ASSIGNMENT - STRATEGIC INITIATIVE PAPER • Strategic Initiative Paper:s Using the selected organization from your Learning Team Week Two assignment, prepare a 1,050-1,400-word paper in which you describe the relationship between strategic planning and financial planning. In your paper, be sure to address the following: Describe the strategic planning process for your selected organization and identify a strategic initiative discussed in the organization’s annual report. • Describe how this initiative will impact the organization’s financial planning. • How will the organization’s initiative impact costs? • How will the organization’s initiative impact sales? • Describe the risks associated with the initiative and the financial impact that these Fin 370 Week 3 Team Assignment Starbucks Hours may have. PepsiCo Strategic Initiative PepsiCo Strategic Initiative Organizations use strategic initiatives when introducing new products, to enter a new market, to meet market requirements, lower costs or facing any other difficulties in making the organization more profitable. The concept behind a strategic initiative is change and that can be a challenging situation. To make the change successful it takes a group effort throughout the company that needs to be closely managed and monitored. The results of a successful strategic initiative implementation have a positive and significant impact on the organization’s profitability, but it only takes place if the efforts are unanimous. The main steps a company needs to make in the strategic initiative implementation are to The Fragmented Self Definition Essay and ensure support, analyze and agree on approach, execute and examine the results (Snyder, 2008, p. 1). Strategic Planning Initiative The strategic planning initiative of an organization helps Fin 370 Week 3 Team Assignment Starbucks Hours company to improve the organization Fin 370 Week 3 Team Assignment Starbucks Hours different aspects. When the initiative is high people tend to work hard. In life and in business, people want what ever they can have. This is part of the human nature and in business it drives people to be successful and make profit. PepsiCo used a strategic initiative to plan financially for the future. The upper management will evaluate and decide what is best for the company in the short term and what is best for the company in the long term. PepsiCo releases periodically the financial statements, initiatives for increased productivity to inform the shareholders of growth opportunities (PepsiCo, 2011). PepsiCo used their portfolio, the brands that they represent, the costs, and the capital structure of the company in their strategic planning. The organization analyzed and reviewed the financial reports and decided to combine their food and beverage to a one-company platform. The decision to vary their products from making only soft drinks and combine it with food was a

One thought on “Fin 370 Week 2 Team Assignment Starbucks Hours

Leave a Reply

Your email address will not be published. Required fields are marked *