Question
Assuming that, due to the economic crisis caused by the Corona pandemic and the drop in oil and gas prices, the sales of the company
Assuming that, due to the economic crisis caused by the Corona pandemic and the drop in oil and gas prices, the sales of the company assigned to you decreased by 10% during the fourth quarter of 2019 and the decline continued in the first and second quarters of 2020. In addition, assume that this situation resulted in a decrease in the company's net profit by 25% and an increase in the company's costs and expenses by 35% in the same period mentioned.
A. As an investor and you have an amount of one million Qatari riyals, will you invest in the company designated for you by buying shares in the current circumstances, and why (knowing that the rate of return on fixed deposits in banks is 2% annually)? Will you invest in other sectors and companies on the Qatar Stock Exchange, and why?
B. As an investor, will you invest in other sectors and companies on the Qatar Stock Exchange and why? C. As the director of the company, what decisions will you take to deal with this situation during the year 2020 in terms of employees, products, prices, promotions, supply and storage chains ... etc. in order to control the costs and expenses of the company, increase sales, and preserve the profits of the company?
D. As the manager of the company, what strategy / business strategies will you follow during the next three years to deal with the current situation and the expected future situation?
E. As a credit manager in a commercial bank and the company has applied for a loan of 10 million Qatari riyals, will you agree to the loan in the current circumstances and why?
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