this report we focus on Nike’s Inc. Cost of Capital and its financial importance for the company and future investors. The management of Nike Inc. addresses issues both on top-line growth and operating performance. The company’s cost of capital is a critical element in such decisions and it is important to estimate precisely the weighted average cost of capital (WACC). In our analysis‚ we examine why WACC is important in decision making and we show how WACC for Nike Inc. is calculated correctly. Also
Premium Weighted average cost of capital Arithmetic mean Mathematics
higher returns. In this case‚ I will first address the issues with Cohen’s calculation‚ and then analyze an new WACC to decide whether we should invest in Nike Inc. Many issues should be addressed regarding Joanna Cohen’s WACC calculation. First‚ to calculate the debt cost of capital‚ Cohen divided the total interest expense by the company’s average debt balance. This is an issue because she did not take into account the current yield on publicly traded Nike debt. Another issue that should be addressed
Premium Finance Arithmetic mean Economics
Ethical Issue in Business – Pfizer‚ Examined Staci Holt PHL/323 Cassandra Giles Sunday‚ August 1‚ 2010 Ethical Issue in Business - Pfizer‚ Examined Pfizer‚ Inc (Pfizer hereafter) is an international pharmaceutical firm with $45.2 billion in profits in previous years and has an estimated allotment for research and development around $7.9 billion (Pagnattaro‚ 2005). Currently involved in a legal battle originating from allegations that the company unethically pursued clinical trials in an
Premium Ethics Clinical trial Pharmaceutical industry
strategies that Nike has created in tandem with the Football World Cup. The report examines the performance of Nike in relation with the Football World Cup and also tried to find out whether there were any alternatives to get an even better result. In this report I also compared Nike with its closest competitor‚ Adidas and evaluated the critical differences between these two organizations based on the marketing strategies that they have adopted to become successful. 1. Introduction Nike is the leading
Premium FIFA World Cup Marketing Nike, Inc.
_"There is a big disconnect between the vast potential of the global economy and what it does for ordinary workers. Finding solutions to these new global realities is very difficult but not impossible; it just requires some hard thinking and some hard decisions. Where are the leaders with the vision to take up the challenge?"1_ The keywords in the above excerpt are "workers"‚ "solutions"‚ "leaders" and "challenge". Nike Inc.‚ the world _LEADER_ in the athletic footwear‚ apparel‚ equipment and accessories
Premium Human rights Corporate social responsibility Stakeholder
Nike‚ Inc.: Cost of Capital Case 15 Financial Administration FINC 5713-180 Team 1 Fall 2013. October 8‚ 2013. Introduction Kimi Ford a portfolio manager at NorthPoint Group which is a mutual-fund management firm‚ is considering to buy some shares from Nike‚ inc even if it’s share price had declined from the beginning of the year‚ for the Northpoint Large-cap fund she managed which invested mostly in Fortune 500 companies and it was doing well despite the decline
Premium Stock market Weighted average cost of capital Stock
Running head: ETHICS IN RESEARCH Ethical Issues in Social Psychological Research Social psychological research has been conducted in response to many social concerns. Over the years the focus of research has changed greatly depending on the needs of society. However the main purpose has remained constant‚ which is to contribute to understanding individual thoughts‚ feelings‚ and behaviour in light of a broader social context. Social psychological research is done with both humans and animals
Premium Stanford prison experiment Psychology Ethics
Flexible Specialisation and the persistence of the sweatshop Sweatshops are known to be a mass of workers mass-producing goods they may never be able to afford themselves. The sweatshop rose to meaning as work moved off the farm and into the city‚ and employers found a limitless amount of so called labourers to make their products. The low entry costs and high labour intensity linked with the textile industry tended to concentrate sweatshops in clothing production. As industrialization grew‚ labour
Premium Sweatshop Wage Employment
Leadership is a process of social influence‚ which maximizes the efforts of others‚ towards the achievement of a goal. Phil Knight‚ co-founder and chairman of Nike‚ Inc. is the epitome of an innovative leader who revolutionized the sports industry. In the past‚ he has also served as the company’s chief executive officer. Nike‚ Inc. is one of the largest if not the largest suppliers of athletic shoes and apparel around the world. Although Phil Knight has never been a professional athlete‚ owner of
Premium Marketing Brand Athletic shoe
Lecture Notes: Legal/Ethical Issues and Social Policy Paris Finner-Williams‚ Ph.D.‚ J.D.‚ Esq. Description Dr. Paris Finner-Williams describes areas of addiction and how legal/ethical issues and social policy relate to these areas. She discusses the legal/ethical issues directly related to alcohol‚ drugs‚ and other illicit drugs. Finally‚ Dr. Finner-Williams addresses cultural competency issues as they relate to addiction and recovery. Learning Objectives: By the end of this lesson‚ students:
Premium Drug addiction Global Positioning System Addiction