Financial
Management 300
, Uniti Strategy Competitive strategies
SWTAnySweaks
:
Generic :
internal
financial Accounting us Managerial According &
lowcost provider
a broad
differentiation opportunities
external factors
Bestput Provide focus
4 D strategy on
your strengths and aviod decisions that
bring
weaknesses out whilst
focused low cost focused differentiation defending threats
ROLEX
SAFAIR
T
SWOT
Analysis tips :
Strengths to be viewed from internal and customer perspective
·
are
Decision making
, planning and control process
I such as what have that others do not ?
unique resources does the
company
What is or unique selling proposition
↳this is
separated into DM/P and Control process ↳ What low costing resources does the have that others do not ?
company
·
Weaknesses from internal consumer perspective
Identity objectives are an
i
1
.
Search alternative of action ↳ what factors contribute to weaker brand ? What doesnt the do well ?
.
2 course
image company
Decision makingand select appropriate coursea a ·
opportunities are viewed from external perspective
4
. implement decisions ↳ what
opportunities are available in the marketplace ? Are there changes in
lifestyles or social pattern we can use
Threats viewed
Control Process 5.
comparing outcomes to expected outcomes · are
externally
put as at ?
? What threats do our weaknesses
responding divergence from plan lifestyle changes threat to
to ↳s
.
6 do pose a our
company
I
Porters
Defining Strategy PESTEL Analysis five forces
: :
·
Direction and scope of an
organisation overthe
long turn which achieves a competitive advantage for the
entity through its configuration Political-taxation policy/ instability .
1
Substitutes of products -
buyers willingness to change/customer
loyaltyswitching cost
of the market and to fulfill stakeholder expectations Threat of new entrants
of resources within a
changing environment to meet the needs Economic-interest rates /economic
growth .
2 customer
switching costs are high / high capital requirements
-
↳ either is short-term long-term and will be
game-plan for running organisation Sociological population rateage distribution .
3 Power of sellers differentiated products/resource supplied is scarce I small of suppliers
-
or a -
no .
Power of
Technological-research and development/automation 4.
buyers
-
switehosts
a ao
low/buyers purchase all of suppliers products
competitive Environmental-weather/climate
Strategy about businesses make and to : Competitive rivalry size/high exit barriers/
· S
come as moves approaches when firms all the some
-
. are
↳ attract customers/conduct operations/compete successfully/ grow the business
Legal-laws/regulations/statutes
↳ Good to ensure financial
management decisions are
alignedto organisations strategy
Stakeholder Analysis :
When
·
developing a
strategy organisation must askb questions
↳ where do we want to ?
go
↳ Where are we now ?
↳ How there ?
are we
going to get
who participates in
making organisations strategy
:
·
CEO :
ultimately responsible for
leading the strategy-making and strategy-executing process HOWEVER the strategy can also be product of
other senior executives work such as (FO
having influence in strategy-making roles
·
The more a
company has different operations I divisions / products/industries then the more strategic functions are delegated. Mendelows power-interest matrix :
&
Strategic Management Process :
keep
satisfied
o Phase :
developing the visionD Phase 2 :
setting objectives - Phase 3 :
Crafting the
strategy I Stakeholder manageclosa
power
Phase 2
Phase s monitoring developments/evaluating performance/making adjustments implementing and executing the strategy
: - :
,
I
reviseas needdinlightochanging
conditii s
minimal keep informed
effort
(monitor)
D
Stakeholder level of interest
Interlinking the strategic management processes :
o
where do we went to go ? (Phase and 2)
↳
developing strategic vision and
setting organisation objectives to measure
progress to goals
Building a business model :
obusiness models are how companies deliver and capture value
namely by finding their
Where are we now
· ? (Phase 3) ·
How are we
going to getthere
? (Phase 4 and s ↳ Customer Segments
↳
crafting a
strategy to achieve objectives ↳
implementing and
executing the strategy
differentiation
performance/reviewing the situation and initiating corrective adjustments in the
oCostPridea
↳
Evaluating broad
&
* spectrum of customers/goods
/
and
mission objectives strategy in
light of new ideas and
changing conditions
Vision, mission, objectives :
best-cost provider
value for
money middle-ground
ovision PortrayscompanyfutubusnesScopebos
:
- A
(who/what / why focused low-cost focused differentiation
outperform narrow
costs and narro
rivals with lower
segment and high
segment customisation
·
Objectives : what actions stops does the organisation need to take to achieve its visia
Setting Objectives
:
meant to turn the mission statement into
something specific to achieve. Includes
·
objectives are both
long and short tem
Specific meaning :
precise formulation sought low cost
praider-broad/price sensitive/low costs
Measurable : index or measure for
determing progress focused low
cost - niche/outperform with super low costs
Attainable : must be realistic broad diffrentiation -
high spectrum of
goods/customers
Relevant appropriate to the mission statement focused differentiation niche/high customisation
-
Time bond time from for
achieving this best cost
provider-middle ground/value for money
, positive
of debt
percentage of
equity and
percentage
WACL
Evaluating
Pure
Play the WACC of project based in similar line of business
·
using a
unique on
companies as us
-
Subjective Approach firm subjective approach adjusts according
to the
project
·
to WACL and
adopts a
-
ML or Capital Asset Pricing Model : ofloatation costs :
FrancesinsutactcoRetur
Raising add this formula otwAtoseetrue costs of
·
When put into variables .
We
raising captain
· Thus
Non-redeemable :
Expected dividend rate
· Preface shares cost Redeemable :
Up =
Required markereturn rate X
issued price unlevering and Relevering Betas :
·
Bond Yield + Risk Premium = no isk free rate simply : Re-band yield rate+ risk premium rate 0 It
comparable companies use a different level of financial leverage we unlever/ lever our beta to reflect this
use this formula to unlever : Bu =
Bu = [1 +
(1-TR) Cey)] but use OTHER firms values
Cost of Debt :
↳ where Bu= beta unleved/BL = beta levered/TR =
tax rate/ total debt and equity book value
·
Redeemable debentures have the interest tax shield at current value of debtex tax ratex
yield to
maturity Then to re-lever Beta again : BL =
Bax [1 + (I-TR) Ley)] but use YOUR firms values
however this is the some as YTMX(1- tax rate) and gives the same effective rate
↳
Where Bu= beta unleved/BL = beta levered/TR =
tax rate/total debt and
equity book value
Evaluate WALL in calculated Beta
new sector
using new
Management 300
, Uniti Strategy Competitive strategies
SWTAnySweaks
:
Generic :
internal
financial Accounting us Managerial According &
lowcost provider
a broad
differentiation opportunities
external factors
Bestput Provide focus
4 D strategy on
your strengths and aviod decisions that
bring
weaknesses out whilst
focused low cost focused differentiation defending threats
ROLEX
SAFAIR
T
SWOT
Analysis tips :
Strengths to be viewed from internal and customer perspective
·
are
Decision making
, planning and control process
I such as what have that others do not ?
unique resources does the
company
What is or unique selling proposition
↳this is
separated into DM/P and Control process ↳ What low costing resources does the have that others do not ?
company
·
Weaknesses from internal consumer perspective
Identity objectives are an
i
1
.
Search alternative of action ↳ what factors contribute to weaker brand ? What doesnt the do well ?
.
2 course
image company
Decision makingand select appropriate coursea a ·
opportunities are viewed from external perspective
4
. implement decisions ↳ what
opportunities are available in the marketplace ? Are there changes in
lifestyles or social pattern we can use
Threats viewed
Control Process 5.
comparing outcomes to expected outcomes · are
externally
put as at ?
? What threats do our weaknesses
responding divergence from plan lifestyle changes threat to
to ↳s
.
6 do pose a our
company
I
Porters
Defining Strategy PESTEL Analysis five forces
: :
·
Direction and scope of an
organisation overthe
long turn which achieves a competitive advantage for the
entity through its configuration Political-taxation policy/ instability .
1
Substitutes of products -
buyers willingness to change/customer
loyaltyswitching cost
of the market and to fulfill stakeholder expectations Threat of new entrants
of resources within a
changing environment to meet the needs Economic-interest rates /economic
growth .
2 customer
switching costs are high / high capital requirements
-
↳ either is short-term long-term and will be
game-plan for running organisation Sociological population rateage distribution .
3 Power of sellers differentiated products/resource supplied is scarce I small of suppliers
-
or a -
no .
Power of
Technological-research and development/automation 4.
buyers
-
switehosts
a ao
low/buyers purchase all of suppliers products
competitive Environmental-weather/climate
Strategy about businesses make and to : Competitive rivalry size/high exit barriers/
· S
come as moves approaches when firms all the some
-
. are
↳ attract customers/conduct operations/compete successfully/ grow the business
Legal-laws/regulations/statutes
↳ Good to ensure financial
management decisions are
alignedto organisations strategy
Stakeholder Analysis :
When
·
developing a
strategy organisation must askb questions
↳ where do we want to ?
go
↳ Where are we now ?
↳ How there ?
are we
going to get
who participates in
making organisations strategy
:
·
CEO :
ultimately responsible for
leading the strategy-making and strategy-executing process HOWEVER the strategy can also be product of
other senior executives work such as (FO
having influence in strategy-making roles
·
The more a
company has different operations I divisions / products/industries then the more strategic functions are delegated. Mendelows power-interest matrix :
&
Strategic Management Process :
keep
satisfied
o Phase :
developing the visionD Phase 2 :
setting objectives - Phase 3 :
Crafting the
strategy I Stakeholder manageclosa
power
Phase 2
Phase s monitoring developments/evaluating performance/making adjustments implementing and executing the strategy
: - :
,
I
reviseas needdinlightochanging
conditii s
minimal keep informed
effort
(monitor)
D
Stakeholder level of interest
Interlinking the strategic management processes :
o
where do we went to go ? (Phase and 2)
↳
developing strategic vision and
setting organisation objectives to measure
progress to goals
Building a business model :
obusiness models are how companies deliver and capture value
namely by finding their
Where are we now
· ? (Phase 3) ·
How are we
going to getthere
? (Phase 4 and s ↳ Customer Segments
↳
crafting a
strategy to achieve objectives ↳
implementing and
executing the strategy
differentiation
performance/reviewing the situation and initiating corrective adjustments in the
oCostPridea
↳
Evaluating broad
&
* spectrum of customers/goods
/
and
mission objectives strategy in
light of new ideas and
changing conditions
Vision, mission, objectives :
best-cost provider
value for
money middle-ground
ovision PortrayscompanyfutubusnesScopebos
:
- A
(who/what / why focused low-cost focused differentiation
outperform narrow
costs and narro
rivals with lower
segment and high
segment customisation
·
Objectives : what actions stops does the organisation need to take to achieve its visia
Setting Objectives
:
meant to turn the mission statement into
something specific to achieve. Includes
·
objectives are both
long and short tem
Specific meaning :
precise formulation sought low cost
praider-broad/price sensitive/low costs
Measurable : index or measure for
determing progress focused low
cost - niche/outperform with super low costs
Attainable : must be realistic broad diffrentiation -
high spectrum of
goods/customers
Relevant appropriate to the mission statement focused differentiation niche/high customisation
-
Time bond time from for
achieving this best cost
provider-middle ground/value for money
, positive
of debt
percentage of
equity and
percentage
WACL
Evaluating
Pure
Play the WACC of project based in similar line of business
·
using a
unique on
companies as us
-
Subjective Approach firm subjective approach adjusts according
to the
project
·
to WACL and
adopts a
-
ML or Capital Asset Pricing Model : ofloatation costs :
FrancesinsutactcoRetur
Raising add this formula otwAtoseetrue costs of
·
When put into variables .
We
raising captain
· Thus
Non-redeemable :
Expected dividend rate
· Preface shares cost Redeemable :
Up =
Required markereturn rate X
issued price unlevering and Relevering Betas :
·
Bond Yield + Risk Premium = no isk free rate simply : Re-band yield rate+ risk premium rate 0 It
comparable companies use a different level of financial leverage we unlever/ lever our beta to reflect this
use this formula to unlever : Bu =
Bu = [1 +
(1-TR) Cey)] but use OTHER firms values
Cost of Debt :
↳ where Bu= beta unleved/BL = beta levered/TR =
tax rate/ total debt and equity book value
·
Redeemable debentures have the interest tax shield at current value of debtex tax ratex
yield to
maturity Then to re-lever Beta again : BL =
Bax [1 + (I-TR) Ley)] but use YOUR firms values
however this is the some as YTMX(1- tax rate) and gives the same effective rate
↳
Where Bu= beta unleved/BL = beta levered/TR =
tax rate/total debt and
equity book value
Evaluate WALL in calculated Beta
new sector
using new
