Substantive Issue Ocean Carriers is a shipping company evaluating a proposed lease of a ship for a three-year period to a customer‚ beginning in 2003. The proposed leasing contract offers very attractive terms‚ but no ship in Ocean Carrier’s current fleet meets the customer’s requirements. The firm must decide if future expected cash flows warrant the considerable investment in a new ship. Objective of Case Assignment To provide your team an opportunity to make a capital budgeting decision
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“Ocean Carriers” case Assume that Ocean Carriers uses a 9% discount rate. 1) Do you expect daily spot hire rates to increase or decrease next year? (5 points) 2) What factors drive daily hire rates? (5 points) 3) How would you characterize the long-term prospects of the capesize dry bulk industry? (10 points) 4) Should Ms Linn purchase the $39M capsize? Make 2 different assumptions. First‚ assume that Ocean Carriers is a US firm subject to 35% taxation. Second‚ assume that
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Conventional competitive strategy suggests that the company has to strive to outpace the rivals by offering a better solution to the existing problem. Blue Ocean strategy aims at redefining the problem itself. Whereas‚ Blue Ocean strategy encourages the companies to fetch away the red ocean competition via creation of an unoccupied niche where there is no threat to be defeated by competitors. It offers a company to reject the satisfaction of existing‚ and often decreasing
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MGT 623 Ocean Carriers Case Study 1) Do you expect daily spot hire rates to increase or decrease next year? According to the Case description‚ Exhibit 3 showed order booking and delivery schedule for bulk capsizes for coming years from 2001 to 2004. It was larger than the number of current fleet size in Exhibit 2. Thus‚ the spot hire rates would likely to decrease since capsizes are available. 2) What factors drive average daily hire rates? Daily hire rate were determined
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Article Analysis In the article I have chosen to analyze‚ it is promoting “Tag Body Spray” for men in ESPN magazine. It is set up with a man on the ground‚ his shirt ripped and his belt is undone‚ and five women‚ in short-skirts and low-cut shirts with an open lab coat over them. The scene seems to take place in a laboratory where the five women appear as researchers with their lab coats and clipboards. The researchers are over the man‚ pinning him down with their feet in a somewhat sexual pose
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Oregano Disinfectant Spray A Research Proposal In partial fulfillment of the requirements in “Research I” JOANNA ROSE M. BALDE ISAIAH GRACE E. RARELA 10-Responsibility CHAPTER I INTRODUCTION All proposed researches require gathering information about a certain topic. In this chapter you will read about what our topic is all about and the reasons why we had come up with this research proposal. 1.1 Background of the Study For centuries up until the present day‚ plants have given us
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Ocean Carriers HW#7 PRINCIPLES OF MORDERN FINANCE (FALL 2012) JINGYE HAN “Ocean Carriers” case 1) Do you expect daily spot hire rates to increase or decrease next year? I expect daily spot hire rates to decrease next year. Based on Exhibit 3‚ order book in 2002 for dry bulk capsizes decreased‚ indicating a decrease in demand. Meanwhile‚ Based on Exhibit 2‚ the majority of capsize fleets in December 2000 are in the age within 15 years‚ among them‚ the largest portion is of those under
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An analysis of Ocean Park. Table of Contents 1. Introduction 2. Analysis of Ocean Park’s Environment 2.1 PEST Analysis 2.1.1 Political and legal issues 2.1.2 Economic condition and trends 2.1.3 Cultural and social values and trends 2.1.4 Technology Analysis 2.2 SWOT Analysis 3. Conclusion 4. Reference 5. Appendices 1. Introduction Hong Kong Ocean Park is considered as a one of world’s largest marine park‚ located on the south end of Hong
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OCEAN CARRIERS ANALYSIS DATE: 8/29/2007 TO: MS MARY LINN CC: PROF. TOM MILLER FROM: RYAN DALE SEELKE RE: DECISION ON CAPE SIZE CARRIER PRIORITY: [URGENT] Ms Mary Linn‚ After careful cash flow analysis and a discount rate (WACC) of 9%‚ commissioning a capsize carrier for 25 years is the only appropriate option for our firm. However‚ if the discount were instead 10%‚ both options would fail the NPV test by yielding negative results. I make this recommendation after thorough analysis of
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Question 1 - What is the focus and what are the strategies being employed in the organisation’s marketing program? 1.1 Introduction – Ocean Park’s mission and core values Ocean Park (“OP”) is the first theme park in Hong Kong and opened in 1977. It is a non-profit making organisation that aims to provide visitors a unique guest experience combining three elements of entertainment‚ education and conservation. With its long history and distinctive image‚ it has always been regarded as Hong Kong people’s
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