Financial Management Essay Example | Topics and Well Written Essays - 1000 words - 4

Financial Management - Essay Example The Sainsbury maintains 15 percent share in the company whom as of 2008 employs 150,000 employees. (wikipedia) Circumstances that led to downfall were due to management inefficiencies of strategies. For instance, management believed on the strength of their position in the market cannot be moved. Company made mistakes on decisions that have moved their loyal customers to competitors and erased brand loyalty to the company. These painful experiences which include wrong advertising campaign, brutal treatment of supplies, reluctance to move for quality or value and other indecisions brought down the profitability of the company for the first time. Company is always one step behind competitors (Wikipedia). Using business ratio report, this part of the study will give us n insight on the financial performance of the company against the leading players in the industry sector. This will show the trend, size of the market, growth , competitor analysis with the process of simple benchmarking and will be presented through the League of Tables. 1. Trend. Percentage of sales of Sainsbury on 5 yr period of 0.87 is higher than the industry and sector Table 1. S&P 500 has a higher benchmark but this could not be used as basis as companies in this group are not allied with supermarkets. This also shows the relative strength of Sainsbury in sales performance along with competitors. 2. Company performance. In terms of profitability (Table 7), net profit margin of Sainsbury is higher than the industry and sector both on a yearly and 5 yr average trend. These figures will lead analysts to believe that Sainsbury plc is recovering and performance is leading to growth. This should cause an alarm for both the management and investors and target efforts should be directed for correction in this area. Investors are mostly apprehensive on earnings per share, and one of the reasons for decline or rising of market trading and prices. Table 8 and 9 shows a comparison of

Abu Dhabi Essay Example | Topics and Well Written Essays - 1000 words

Abu Dhabi - Essay Example Its economic strength supersedes the world-wide financial crisis that had unfavourable effects in other regions. Its demography is characterized by almost 8-10 million inhabitants and a portentously ethnologically diverse populace. Its populace consists of Americans, Arabians, and Asian nationals. In terms of governance, the emirate has maintained a hereditary form of governance since its inception. Its executive council that largely constitutes of the ruling family members is the main decision-making organ in Abu Dhabi. In the last 10 years, Abu Dhabi has had noteworthy infrastructure and erection of major attractions. This has had substantial changes in the performance of the economy in the last decade. For instance, the occupancy rate in Dubai and Abu Dhabi has increased noticeably and the tourism rate has steadily intensified (Algethami, 2013). Abu Dhabi demonstrates a spot-on characterisation of distinction bearing in mind its enthralling past. The past ten years have been characterized by a massive influx of expatriates because it is considered a tax-haven. All its recent projects are more awesome than the one previously built. Previously, the labour force was based on the oil-based segment and was relatively underdeveloped. The nature of professions available was not diversified and were limited to a specific sector. However, the recent developments by subsidiaries means that more jobs are obtainable and the economy is open (ADCED, 2012). Lesser taxes and attractive infrastructure encourage investments in other sectors that are not oil-related. Abu Dhabi has strict laws that guide the importation of specific goods. Importers should familiarize themselves with these laws. In 2013, the value of imports into Abu Dhabi increased by 42.5 percent (Pantin, 2009, p. 1). This increase was supported by increased shipments of building materials, industrial equipment and machinery (Oxford Business Group, 2010, p. 21). Abu Dhabi’s non-oil exports were worth AED