Preview

recommendations

Good Essays
Open Document
Open Document
574 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
recommendations
1) Doosan is a South Korean company that has purchased parts of the Ingersoll Rand, line of Bobcat equipment for the price of 4.9 billion. The company they formed I the U.S as a result of this purchase is known as Doosan Infracore International or DII. The Doosan name is well known in Korea but not in the U.S. The Doosan brand has been around in Korea for over 100 years. The companies they own include those involved with the production of machines construction equipment as well as restaurants and media outlets. They are a much diversified company. The strengths of Doosan are that they are an international company that is well known in Asia. They produce quality products and hope to continue to do so for many years. The weakness that Doosan faces is that they are not well known in the U.S and people might be reluctant to purchase products with the Doosan name on it. The rebranding of the Ingersoll Rand Bobcat division offers opportunies for the Doosan Company to bring a quality product in under their name and expose American to a trusted product. The threat to the company is if the consumer doesn’t know the product name they might be reluctant to buy from Doosan.

2) One of the assumptions you can make from the case is that because of the economic downturn, after the purchase of the Bobcat division, is that the company will be able to survive despite a possible losses of customers and business opportuines. It is interesting to imagine how this new company will be able to survive during the economic downturn but because of the information provided with respect to Doosan’s diversity they will be able to survive an economic downswing. Information that is missing from this company includes profit and losses before the year 2006 and strategic plan about how the company plans to survive the economic down turn. The information listed only provides 2 years’ worth of earnings data which doesn’t give a complete picture of the company in regards to their profits and

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Activity Problems MPC

    • 367 Words
    • 2 Pages

    7. Do you think the financial performance of the Economy division was impacted by any poor design features in the BSC and strategy map? Why?…

    • 367 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    d. Explain the impact on this firm of other firms leaving the market. Would this action alter your decision made in part C?…

    • 280 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    It clearly states the financial instability of JJJ Company but it does not confirm that the acquisition is not going through. The writer understands that the confirmation should come from the CEO. Document 2 provides more information that should have been provided. The first paragraph in Document 2 states, “William CEO would like to get this acquisition, only if it means a profit to the company. William would like to see bigger dividends for the shareholders…” The writer should have omitted mentioning opinions that came from the CEO, if the CEO found this information to be important for the Marketing Manager to know he would need to be the person presenting this…

    • 486 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Sunbeam Case Analysis

    • 914 Words
    • 3 Pages

    1. Analyze the changes that Al Dunlap had initiated at Sunbeam after being hired from a strategic perspective. Did the changes started by Dunlap allow him opportunities to manage earnings?…

    • 914 Words
    • 3 Pages
    Powerful Essays
  • Powerful Essays

    Excello Telecommunication

    • 1722 Words
    • 6 Pages

    Excello Telecommunication had seen many years of profitable sales. But, then in 2010 Excello had seen a drop of sales due to competition of their product by overseas manufactures. With all the years that this company had been in business they were now faced with the fact that their earnings estimates were not going to be met. There were many executive managers that were worried about the kind of effect this would have on the company bonuses, stock options, and the share prices of Excello's stock.…

    • 1722 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    Ganong Bros

    • 504 Words
    • 3 Pages

    After analyzing the current situation of the firm and the market we would recommend that Ganong should discontinue the product lines that are not profitable (exhibit 1). Secondly Ganong should become more proactive in the private label sector (exhibit 5). Third Ganong should improve the effectiveness of their sales force and receivable staff (exhibit 4). This will improve the firm’s people and production processes as well as give the company a new opportunity for growth in this competitive industry…

    • 504 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Sunbeam Case

    • 468 Words
    • 2 Pages

    1. Analyze the changes that Al Dunlap had initiated at Sunbeam after being hired from a strategic perspective. Did the changes started by Dunlap allow him opportunities to manage earnings?…

    • 468 Words
    • 2 Pages
    Good Essays
  • Powerful Essays

    3. What are the key driver assumptions of the firm’s future financial performance? What are the managerial implications of those key drivers? That is, what aspects of the firm’s activities should Koh focus on especially?…

    • 1166 Words
    • 5 Pages
    Powerful Essays
  • Good Essays

    Leslie Fay Case

    • 649 Words
    • 3 Pages

    1. The financial statement items that I believe should have been particular interest to BDO Seidman are the inventory primarily and then the sales. BDO Seidman should have noticed that according the ratios, the sales were at a steady rate until the year 1991. The inventory of the company was also having issues with sales due to Leslie Fay not keeping up with the latest fashions and because of a slight recession. According to the ratios and common size statement, the current ratio’s trend was similar to the quick ratio which was constantly declining until 1991.…

    • 649 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Q4)Some might describe Williams as “financially distressed.” What evidence is there that Williams’ business may be compromised as a result of its previous financial decisions?…

    • 2088 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    Krispy Kreme

    • 4063 Words
    • 17 Pages

    4. In light of your answer to question 3, what accounts for the firm’s recent share price decline?…

    • 4063 Words
    • 17 Pages
    Powerful Essays
  • Good Essays

    1990 to 1991 was also the time of an economic recession. In order to face the company’s sales decline and the economic downturn they undertook several measures. They ended their diversification strategy and generated cash by selling off non-automotive business units. Cash came also from stock offerings and a debt offering. However, the company was in a miserable position, junk rated and facing an underfunded pension plan.…

    • 1021 Words
    • 5 Pages
    Good Essays
  • Better Essays

    Finance Case Study

    • 1122 Words
    • 5 Pages

    Over the past years, Horniman Horticulture ran very well under the control of Bob and with the overseen of its finance by Maggie. Firstly, no debt happened through the management. Secondly, their equity capital kept increasing which resulted from the revenue was $788,500 in 2002, however, it was $1,048,800 in 2005 with the revenue increased by 15.5% based on 2004. It is obviously that the business had a overall prospect. Finally, their gross profits, operating profits and net profits keep increasing from year 2003 to 2005 as well as the changes in their gross margin, operating margin and net profit margin. In general, the business operated perfect and had a booming future.…

    • 1122 Words
    • 5 Pages
    Better Essays
  • Satisfactory Essays

    Hallstead Jewelers

    • 410 Words
    • 2 Pages

    1. We see an increase in the break-even point, both in dollars and in sales tickets, from year 2003 to 2006. This increase is not as dramatic between the years 2003 and 2004 as it is between 2004 and 2006. The increase in break-even point in sales tickets is 1615,80 and 7623,90 respectively. The increase in the first year is due to the increase in fixed costs and also the decrease in sales. The increase between 2004-2006 is due to the dramatic increase of fixed costs because of the bigger store and higher rent and the decrease in contribution margin that is caused by the greater increase in variable costs than sales. The margin of safety on the other hand gradually decreased. The decrease between 2003-04 and 2004-06 are 20% and 47% respectively. The reason for that is the huge increase in break-even point between 2004 and 2006 and the decrease in sales for the years 2003-2004.…

    • 410 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    The statements that are prepared and we can observe from the same is that the company has a good amount of profits in the long run. This could help to understand the operations of the company…

    • 921 Words
    • 8 Pages
    Powerful Essays