Business Finance Theory & Practice- Financial rationale of a strategic Essay

Business Finance Theory & Practice- Financial rationale of a strategic readjustmentFinancial rationale of a strategic readjustment - Essay Example It seeks to achieve this aim through production of quality items, timely response to customer needs and investment on future projects. Henry Williams founded the company in the year 1859 as a small wardrobe clothing company. Despite its small start, the company has expanded its network and business units to various market destinations globally including US. The expansion is resulting to high amount of revenue and asset development. The level of performance can be ascertained from its strong revenue base and asset capacity as contained in its financial statements. For instance, the company recorded a gross profit of 440 million in the year 2014 up from the amount realized in the year 2011 that stood at 690. Likewise, the company reported an encouraging net profit and sales of 75900 and 834 in the year ending 2014 respectively. Its net asset worth was also reported at 485300 in the year 2014 up from 319000 in the year 2011. The growth in the company’s capital base and revenues including assets depicts a good start for the company that operates in the competitive industry. Although the firm is reporting positive figures in its balance sheet, the performance, there is need for the company to improve its balance sheet figures to facilitate its competitiveness in the market. To achieve this there are various financial developments or action plans that the company can adopt. The action plans are essential since they hold the capacity of revolutionizing the revenue entry points through diversification and expand income capacity (Salhanick, Kipnis & Wiele, 1995, p. 67). The probable action plans include adopting product diversification, seeking for strategic partnership, injecting more capital to increase productivity and reaching out to a wider market spectrum. All these action plans forms viable tools that the clothe making company can embrace to ensure that its balance sheet is boosted to higher levels. The action

Nestle Infant Formula Article Example | Topics and Well Written Essays - 500 words

Nestle Infant Formula - Article Example The mothers who were from an economically weaker section diluted the free milk samples provided in order to avoid buying the powder. In addition these people also used unsterile water to mix the milk. While these were the problems with the free samples sold, the advertisements shown by the company showed white women feeding the formula feed to their infants. This gave an impression that modern mothers only bottle-feed their babies and when the free samples were given to mothers immediately after the delivery they were more inclined to bottle-feed their infants. All these lead to reduced breast-feeding, malnutrition in the infants and also increased the mortality rate. I believe that the marketing technique followed by the company was in no way illegal and that a moral code of ethics was followed in the business of marketing their infant milk formula. In the present case I argue that the company was in no way morally inclined to change its marketing strategy. As a producer of infant foods the advertisements and sale of free sachets of milk powder was well within the ethical standards. Instead of blaming the company it would have been appropriate if more awareness was created on the importance of breast-feeding and the circumstances under which formula milk could be introduced to the infant. Such awareness is definitely required in developing countries such as Africa. Merely targeting the company would not solve the issue as it would not be of much help in preventing mothers from feeding formula milk to their infants as a substitute for breast milk. Having a frank and open-minded discussion would always help to arrive at an early conclusion. In the case of the Nestle Infant Milk Formula case my decision would comply with the marketing strategies adopted by the company as it is lawful and has followed a moral code of ethics. An open discussion about the possible methods