Question
can I get a feed back on any one, two or three discussion post below. thanks 1. In the current economic environment, if you were
can I get a feed back on any one, two or three discussion post below. thanks
1. In the current economic environment, if you were the CEO of a tech firm, would you issue a cash dividend? Discuss and provide a recent example of an actual firm.
In our current economic environment, I would issue a cash dividend in my firm was performing exceptionally well. It would be in an effort to encourage our investors. One example of this is the software firm Broadcom Inc. As a leader in the tech field, Broadcom Inc. issued cash dividends to its shareholders after seeing a nearly 5% rise in stock price.
2. Discuss the most important aspect of working capital management in terms of creating value for a firm.
Inventory is a company's primary asset, as inventory converts into sales revenues. The rate at which a company sells and replenishes its inventory is an important measure of its success. For example, I manage a plastic surgery practice. We primarily only do facial surgical procedures, so my inventory for sales is limited. However, I often use skin care as a great booster in the clinic. We now offer two different brands that are scientifically backed, one with great independently done peer-reviewed journals. As we only do facial surgery, our patient retention is challenging. (Most people dont need a facelift every few years!) We are constantly working on ways to keep patients around, especially patients who were thrilled with surgical results. Happy patients are the best advertising. One thing I began this year was including a skincare regimen for the patient prior to surgery partially to get their skin in its healthiest condition, but also to get our patients hooked on great skincare thatll keep them coming back to us.
3. Why are Public Offerings so volatile? Provide real-world examples.
Public Offerings are so volatile because every change in the firm is scrutinized. A firms value will be determined and if anything scandalous is released, the firms value can drop and bankrupt a company. If a company does not have a good business plan, the company can flop. For example, Pets.com had their IPO in the early 2000s and flopped. While they reached a high of $84 per share, they eventually tanked at $0.22 per share. Another example of how dramatic an IPO can be is Omeros IPO in 2009. While other major drama occurred, one more minor issue was an ousted chief executive accused the company of fudging timekeeping records for National Institutes of Health (NIH) grants.
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