Essays on Conglomerate

Anheuser-Busch InBev’s Takeover of SABMiller

The global beer industry, which has been growing steadily for almost a century now, is filled with variety. There are many types of beer that vary in flavor, production technique, ingredients, color, alcohol levels, and geographic origin. Also, the many brands vary greatly as well. Some brands dominate global beer markets, while other brands are very local - and everything in between. Anheuser-Busch InBev and SABMiller were two of the largest global dominating beermaker companies in existence. Together, they produced around 30% of all beer sold world-wide. The idea of Anheuser-Busch InBev and SABMiller merging was simply astonishing. When ...

Introduction

Business entities both in the contemporary society as well as in the past have different approaches in undertaking their business activities and such approaches focus on increasing the returns. The other objective of the majority of the companies is seeking to obtain stable markets as well as a clear expansion strategy that enables them to approach new markets and establish operations in new markets successfully. The clothing industry is a major industry across the globe with varying organizations operating in the industry. The majority of the companies have not developed specialized products based on the demographic segmentation of the ...

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Accounting Standard Setting under the Australian Conceptual Framework and Application in Business Practices

Introduction A conceptual framework establishes the concepts and provides the guidelines that underlie financial reporting. As a coherent system of notions that flow from an objective, which in turn serve to identify the purpose of financial reporting, a conceptual framework also provides guidance on the identification of the boundaries of financial reporting. Its concepts further provide guidance on the selection of transactions, related events, and circumstances to be presented, and how such elements should be summarized and ultimately reported (Financial Accounting Standards Board [FASB], 2008). One such conceptual ...

Introduction

The fast food industry is a multi-billion venture for companies operating in the United States and those that have a foothold in the global market. One of the successful American publicly traded franchises is McDonald's with food stores both in the United States and beyond. McDonald's has a net worth of about $110B, annual revenues of $25.36 B and a profit margin of $5.7B by close of the financial year in 2016. Besides, McDonald's has a strong history of acquisition spanning from the 90’s where it acquired Chipotle. Followed by Donato Pizza, KeyCorp, Essex Capital Markets Inc., Wallach ...

Background

The Chinese market is characterized by a population, which is vibrant and large enough to facilitate and ensure the growth of businesses in China. The coffee consumption market is one, which has been on an increasing trajectory in terms of increase in the number of consumers for the product. The culture of the consumption of the product was increased by the presence of Starbucks a western franchise that delivers coffee in various parts of the world, and which has been the highest force of competition for Maan Coffee franchise. However, the greatest problem affecting the business entity associated with ...

Introduction

The success of any business venture is characterized by its ability to manage its assets, with respect to features such as the members of staff, the expenses incurred during the production process of its products as well as its distribution stratagems. The reason why most business entities and conglomerates fail to thrive in the long term is due to poor mismanagement of various core sectors hence leading to the redundancy for income generated and in an increase in the cost of productivity. The overall result is the decline in the trajectory of the business entity. Such was the characteristic ...

A merger is the unification of companies. Usually, there are five types of mergers: product extension mergers, conglomerate merger, market extension merger, horizontal merger, and vertical merger. Each type serves a unique economic function for the businesses involved. Acquisitions occur when a company takes over another firm (Galpin, & Herndon, 2014). The difference between the two strategies is that a merger is meant to combine the interests of the business entities involved thereby creating a firm that is much stronger. In mergers, the two combining companies usually get a new name. The merging companies are mostly the same size. On ...

Argumentative Research Paper

Introduction In the recent decades, multiple economic, political and cultural factors have contributed to China’s increasing participation in the global market, particularly in the international retail. The country’s retail market is among the most dynamic in the world today, while the fast and decisive adoption of the technological opportunities for retail operations made China the largest e-commerce market worldwide with the sales revenue of estimated $589 billion as for 2015 (Tong). Chinese retailers readily use the modern technological means to reach both local and foreign consumers, which has led to the dramatic growth of China’s Business-to-Consumer ...

Five-year average return for each security

General Electric Ford Identify each company’s security A security is a financial asset commonly known as a financial instrument. Securities are categorized into three debt security, equity security and derivatives security. The Ford Securities are the debt securities while the company’s security for General Electric is the equity securities.

Identify the securities’ industries

General Electric is a Conglomerate. Ford is in the automotive industry.

Determine the average five-year average return in each industry.

The automotive industry return on equity is at 12.4% by the end year 2015. The return on equity for the conglomerate is at 0%.

Identify three additional stocks in each industry and determine the five-year average return for each.

Under the conglomerate the additional stocks are 3M CO Roper Technologies Koninklinje Philips ...

Samsung Electronics

The name of the company is Samsung, which is a multinational conglomerate company. The link to the original website is www.samsung.com.

BACKGROUNG and HISTORY

Samsung is headquartered in Samsung Town, Seoul. The South Korean multinational conglomerate has numerous subsidiaries and affiliation with several businesses. The largest chaebol of South Korea was founded in 1938 by Lee Byung-chul. The business started as a trading company, but the group expanded itself by diversifying into areas such as textiles, insurance, retail, securities, and food processing. In the late 1960s, the company stepped in the electronic industry. Samsung was separated into four groups in 1987 following ...

One of the elements of globalization has been the disappearance of borders in terms of goods and services. This is most easily observed in with food. This paper will explore some of the benefits and disadvantages of our increasingly borderless society by analyzing its impacts on one meal The meal that will form the basis of analysis consisted of pork ribs, lotus root, broccoli, rice, and “Tieguanyin” tea. The lotus root, rice, pork ribs and tea were purchased at a local grocery store. The other items, namely, the broccoli and green beans were purchased at a local farmer’s ...

Introduction

Business restructuring refers to the process of reorganizing or reshuffling the ownership, management, the operational, legal, administrative, technical, and financial structure of a company. The restructuring may stem from the need to enhance the profitability, competitiveness, and placement of the organization in a particular industry. Restructuring usually takes place before the sale, merger, and acquisition of the business but there are several other motives of restructuring. Competitive advantage and financial gains are the two most prominent causes of restructuring apart from mergers and acquisitions. Organizations have to plan in the context of restructuring and devise a grand strategic plan ...

What are the keys to Tesco’s success in the competitive global retailing industry?

One of the leading retailers with over 2100 stores spread across US, Europe and South East Asia, Tesco deals in financial services, telecommunications, food items and grocery. Over years, Tesco has earned a good name for providing value for money to its customers. With its tagline- “Every little helps”, the company stands up to its commitment to foster good relations with not just customers but, vendors and distributors as well. The company’s assets are truly visible from its vision and mission. Some of the key reasons that contribute towards Tesco’s success include: Having achieved the tag name ...

About the paper

The paper is commissioned to analyze the industrial position of Qatar based Aamal Company using both qualitative and quantitative parameters. While the qualitative assessment will be based on SWOT analysis, quantitative assessment of the company will be performed using the tool of ratio analysis as part of which, we will be performing the analysis using raw financial figures for the current year and the comparing the outcome with industrial and index benchmark . Additionally, we will also perform the stock valuation of the company to access its suitability for the investment purpose. The report will finally be culminated with a ...

In the modern world of business, strategic partners happen to be one of the major channels to success. Notably, many corporations are looking for strategic partners to either acquire or get acquired by them simply because of the synergy that comes with the merger and acquisition. In the world of technology, mergers and acquisitions are a common thing, especially for the newly establishing technology firms which get acquired by the legends in the industry. However, it is not common to hear of one tech giant acquiring another well-established firm. This was the case when Microsoft decided to take over ...

1.0 History Maersk as a company was established in 1904, and it was in this year that the company was labeled Maersk Group, with the objective of offering shipping services.The company was a beginning of an idea by two people, who included Peter Maersk and his blood son, Peter Moller. Initially, being a family business, the company bought its first five tankers in 1928.Mr. Moller initiated and oversaw the global expansion of Maersk Group into the global markets, with U.S. being its first international subsidiary. Larsen& Mortensen (2011 affirms that, ‘This was followed by penetration into the United Kingdom, ...

Abstract

The Sony Corporation is a multinational conglomerate of Japanese origin. It is headquartered in Konan Minato, Tokyo Japan. This particular company has diversified its business through the production of multiple products and services. The main products produced by Sony include professional and consumer electronics, entertainment, gaming, and financial services. Sony’s vision is to create products that meet the imaginations of everyone and produce gadgets and devices that stimulate senses and rejuvenate the spirit. It strives to come up with ideas full of surprise and that never disappoint the consumer. The company is one of the major players in ...

The increase in the number of corporation necessitated the formation of cooperate governance, which is a particular set of laws and practical approach through which organization is directed as well as controlled to focus on the internal and external corporate structures, with the intention of monitoring the management's actions, including those of the directors. Thereby instituting measures that may stem misdeed of corporate officers. The paper tests whether Citic Pacific as a company applied corporate governance in its oversea deals. The empirical evidence based on exhibits will be the supporting documents of the literary content written. First, the paper ...

Business

IKEA’s Value Chain Analysis The revolutionary idea of studying the value chain embedded in an entity was postulated by Michael Porter as part of which he tried to depict how the entity accumulates customer value along with the chain of activities that it performs. Stated otherwise, the value-chain analysis is an analytical framework that identifies business activities or process inputs that eventually create value for the customers of the company or/and provides competitive advantage to the entity. Owned by Stichting INGKA Foundation, IKEA is the world’s largest furniture retailer with the presence in more than 40 countries ...

Privacy is Theft?

Modern technology gives a lot of possibilities for people in everyday life. It is easier to stay in touch with your family and relatives, work more efficiently and make shopping. But more and more people nowadays are concerned about the privacy of their lives and security in digital age, as all their information becomes available for everyone who wants to know it via social media resources. The topic has been raised all the time by many people, but we always postpone it, thinking that it is not a right time to consider it. But it has found its literal ...

Alliances commonly known as collaborations are mutual agreements between business entities to share resources and knowledge to expand their operations across borders. Following Globalization and liberalization of economic policies of many countries, accessibility of internal markets have become easier and all business conglomerates have taken the opportunity to gain entry into global markets and increase their business activities. The strategies formulated for entry into foreign markets varies from takeovers, collaborations, acquisition and mergers or setting up plants or retail outlets in other countries. Joint Ventures are preferred over independent establishments as expansion strategies as domestic partners are more familiar ...

Discussion of the Key Trends, Industrial Strategy, and Impact on Ireland Burger King

Introduction Early twentieth-century strategic business developments can hardly compare with the myriad impact and influences of major corporations today. The global economy is at once complex, fiercely competitive, and sits on a landscape filled with the unpredictability of any number of financial storms. Burger King Worldwide (BKW) as the world’s second largest fast-food hamburger chain, according to recent documentation, (Burger King Worldwide 2013) has expanded its presence in nearly ninety countries. With its main offices headquartered in Miami, Florida, BKW has led the industry’s sales in its niche of fast-food hamburgers thus accounting for 12 percent of ...

Question 4: Discuss the implications of the real options likely to be embedded in a multi-million pound capital budgeting decision on whether or not to accept such a proposed investment project and compare and contrast real-options with financial options (25 marks) Real option techniques are increasingly being used as the standard method of evaluating investment decisions whose uncertainties are quantifiable. Capital budgeting decisions are long-term strategic decisions that impact directly on the organization’s efficiency of its daily operations, cash flow, income statement, and the taxable income for the subsequent years; however, most organizations treat them as operating budget decisions. ...

Special Topics

Question 1 Change in corporate control refers to transfer of the decision making authority of a company from one group of persons to another group. This power entitles individuals to make decisions concerning operations and strategic planning of the company, allocation of capital, acquisitions, marketing decisions and production decisions. Publicly traded companies are prone to corporate control changes when large investors, especially institutional investors and other companies, strive to seize control from existing shareholders and managers. Change of corporate control can be effected through; tender offers, negotiated offers and proxy fights . Negotiated offers are the process by which ...