Complete and analyze the risk factors for the companies

http://vital.thirteen.org Company Profiles Student Organizer Read about each company below. Discuss each company's strengths and weaknesses. Freddy's Fast Food This is a chain of convenient hamburger restaurants. They have locations all over the United States, and have been in existence for 20 years. Profitability Freddy's is profitable most years, although recently the company has been making less money as customers have been choosing to eat healthier food, and less fast food. Product Freddy's makes a good hamburger, but has not introduced any healthy items into its menu like salads or other lowfat alternatives. Market Freddy's share of the fast food market is starting to decline as it has kept the same menu for the last 20 years, and has not introduced new or interesting or healthy alternatives to high fat meals. Competition Freddy's competitors have been much more active in introducing interesting new menus and healthier offerings. Management Freddy's management has been the same for the last 20 years, and most of the leaders of the company don't know much about the changes in the fast food industry. However, they are looking at how to improve the company. Joannie's Jeans & Co. This is a fashion company that has launched a new design of jeans that have become all the rage with the teenage crowd. Everyone wants these jeans, and Joannie's is selling them as fast as they are made. Profitability With the introduction of the new jeans line, Joannie's has become extremely profitable. The company is selling everything it makes, and it can't hold on to any inventory. Product Joannie's jeans are extremely popular. The company has hit on a trend. 2010 WNET.ORG Company Profiles Student Organizer cont: Even better, it seems like this product will be popular for a long time, and that Joannie's has become the brand that will have staying power. Market Joannie's share of the jeans market is starting to increase because the new design is so popular. More teens are buying these jeans, in place of other brands. Competition So far, the competition hasn't been able to produce any jeans that are nearly as popular as Joannie's. Management Joannie's management is a strong combination of leaders who have worked in the fashion industry for a long time and have solid experience, and innovative designers who have a fresh approach to the business. Tyrannosaurus Theme Parks TTP is a chain of theme parks all over the U.S. The parks have a dinosaur theme and are very popular with children and adults of all ages. However, theme parks in general are becoming less popular in the U.S. Profitability TTP's profits are going up every year, although this year the profits did not go up quite as much as last year. Product TTP has a unique product, because it is the only dinosaur-themed amusement park in the U.S. It also has a loyal customer base. Market TTP has a large share of the market for theme parks, although in general, the market for theme parks is getting smaller as they become less popular in the U.S. This means that TTP still has a good-sized market share, but its base of customers is getting smaller. Competition No other theme park has been able to compete well with the dinosaurthemed parks owned by TTP. Because the overall market for theme parks is shrinking, it also doesn't look like there will be much innovation in the area. Management TTP's management is fairly weak. The strong members have left the company because they are concerned about the weakening theme park market. The company leaders who are left are not very experienced or innovative. 2 2010 WNET.ORG http://vital.thirteen.org Risk Analysis Student Organizer Rate the risk factors with the following ratings: 1 -- low- risk; 2 -medium risk; and 3 -- high risk. Include an explanation for your rating. Risk Factors Freddy's Fast Food Joannie's Jeans Tyrannosaurus Theme Parks Profitability Product Market Competition Management Least Risky: ___________________________________ 2010 WNET.ORG