Hi please read the attachments
There is two company.
1) Amazon vs 2) Bestbuy
You will only work on Section 3 , 4 , 6.
Annual Report 10k , Financial statement , Ethical issue & conclusion.
I want perfect data.
I want 10 pages power point
5-6 pages word file.
Thank you
Prof. Eshra MG 670 Term Project As the finance manager of a consulting firm, you were asked to analyze two publicly traded corporations within the same industry. One of the two corporations has a proven track record of successful decision making and the other has not been as fortunate with making good decisions. In a group of up to five (5) students, you will be required to submit a typed report and deliver an oral presentation summarizing your findings to the board of directors following these guidelines: Your report MUST include the following side headings: 1. 2. 3. 4. 5. 6. History and Background (provide detailed information about the industry, both corporations, product/service, past and present business model/practices, current status of each of the two corporations in the market, current CEO and main institutional stock holders) Capital Structure (what is each corporation's capital structure? Is it mainly equity, debt, or a combination of the two? What are the benefits and drawbacks of financing using equity/debt? How does the current structure impact the corporation's financially?) Annual Report (10-K) (review each corporation's most recent annual report (10-K) and highlight the essence of the CEO's message to shareholders. Based on your review of the last five years' data, what is the revenue trend, net income/loss trend, dividend trend? List the following four ratios: 1. Profitability ratio, 2. Liquidity ratio, 3. Debt ratio, 4. Activity ratio. Discuss the implications of each of these ratios on each company's financial position. Financial Statements (analyze each corporation's financial statements and make note of any concerns or issues resulting from your analysis. You must discuss the highlights of each statement and not just repeat/re-state everything that appears on the statement. Is the company is a sound financial position? Why or why not? Is the company's profitability appropriate to the industry it's in?) Stock Valuation (list the ticker symbol, most recent stock price and volume traded, PE ratio, number of shares outstanding, and dividend for each company's common stock. Based on your analysis of each company's financials and stock information, in your opinion, is the stock overvalued, undervalued, or appropriately valued? Why? Is the stock performing at, above, or below average compared to the industry and compared to the S&P 500 index? Ethical Issues and Conclusion (was the corporation involved in any ethical issues regarding its product/service/financial dealings? If so, how did the corporation address the ethical issue(s)? If not, what would you do to ensure that the corporation acts ethically in all aspects of doing business? In your opinion as a finance manager, what is the future of each of the two companies? What do you conclude from your research, analysis, and valuation of each company? If you had to offer an opinion to a prospective investor who is interested in both companies, what would it bebuy/hold/sell? Explain you rationale in details. All group members must participate in the preparation of the written report and delivery of the oral presentation. Do not read directly from your report (you may use index cards to remind yourself of important points), face the audience when presenting. Allow time for questions from the audience and be prepared to answer them. Audience members must be prepared to ask questions also. Your APA formatted report must be TYPED, double-spaced, use Times New Roman size 12 font for body of report. Include a cover page (with all group members' names, title (Industry/corporation), date, presented to: Prof. Eshra) and a correctly formatted references page (APA) for all sources used (minimum of 5 different sources). Prepare a minimum of 10 PowerPoint slides to use when presenting your report. Before your due date, you are required to submit a printed copy as well as an electronic copy of: 1. Your report (10 pages minimum excluding cover page/table of contents/references) 7/14/2016 2. PowerPoint presentation or Prezi (minimum 10 slides)-Submit on the day you present Be as creative as you can to capture the attention of your audience (use of multimedia, original digital pictures, short videos is encouraged). Good luck! My group members: My presentation due date:__________ Prof. Eshra MG 670 Term Project Managerial Finance Term Project Prof. ESHRA Grading Rubric: Term Project Prepared by: Prof. Eshra For : ______________________________________________________ On time: Yes No (-10%) EVALUATION CRITERIA Date: ____________ POSSIBLE AWARDED POINTS POINTS I. Cover page and references page Prepared a correctly formatted cover page and references 6 Numbered all pages in report Adhered to report formatting requirements 2 2 II. History and Background for Both Corporations Provided detailed background information and cited sources Identified CEO, major institutional stock holders and current status III. Capital Structure and Annual Report Identified each corporation's capital structure and provided details Provided trends, ratios, and implications IV. Financial Statements Provided an overview of all financial statements Correctly provided a detailed analysis of financial statements/position V. Stock Valuation, Ethical Issues, and Conclusion Provided required stock information and performed analysis Explained ethical issues and conclusion VI. PowerPoint and Presentation Provided a 10-slide presentation using appropriate style, design, colors, font size, and media. Slides are not crowded with text Handled nervousness well; spoke slowly and conversationally; and didn't read directly from slides/report Explained points clearly and engaged audience 5 5 5 5 5 5 5 5 10 10 10 Covered all parts of report within time limit 10 Summarized at the end and answered questions from audience 10 Other TOTAL POSSIBLE POINTS / POINTS AWARDED ( PROJECT SCORE) 100 NOTE: You must be dressed professionally to present. No sneakers/jeans/hats. Your appearance makes a lasting impression; make it a good one. Points will be deducted for not adhering to this rule. 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The company will be based on Manhattan New York and lead by example to the provision of service and research and become responsible for the analysis and making a recommendation to the client. MISSION The mission of the company is to become the financial service premier organization in the world that make the financial service and investment company with an outstanding both financial analysis record and financial practices. The company offering the best service and New York financial investment will succeed as the company of financial service as well as having a positive inflation on finance in the market. VISION To become a distinguishing and prudential as is become a trusted financial partner in the fields of financial services in providing a solution to the financial challenges in the world. N.Y FINANCIAL INVESTMENT SWOT ANALYSIS STRENGTHS Due to the centralization of the company it would have many customers due to geographical location. Transparent structure of the business will also build its image as it will have relatively good structural designed and a high degree of flexibility and hence decision making of the company. WEAKNESS Some of the weakness that might be experiencing are as follows; High sector of exposure Exposure of the exchange rate for example US dollars and Euro may impact the growth of the company. The global requirement of high staff recourse my become a challenge of the company. OPPORTUNITIES Example of opportunities the may be experienced by the company include the following; Enabling new client relationship within the market. The risk is taken on the margin line The expansion the investment forum in the market. Enhancement of the advisory and banking sectors TREATS The company may experience various treat from the other financial intuition and also from the entire environment. Some of the treat include; The rising threat of the recession from the global financial market. The rapid and significant changes that may be experienced in the transport sector. The increase of the government regulatory rules. The rapid volatility of the commodities price. FIVE PORTOS FORCES TREAT OF THE NEW ENTRANTS. Despite the regulation of the minimum capital requirement of starting any financial service there have been some financial services that have gain entrance into the market in the last five year and despite this, all the treat of the new financial institution is too high. POWER OF THE SUPPLIERS Capital is the main primary requirement of any financial companies, and here there is four major supplier sin the financial field as follows; loans, mortgage securities, the customer's deposits, and other financial institutions. POWER OF BUYERS Buyers do not usually pose a much treat to the financial service in the market but instead the major factor that is affecting the buyer is the relativeness high changing the cost for example if the customer wants to change from it can be costly for the customer to change to another financial service. COMPETITIVE RIVALRY There is high competition amongst the financial service providers in the market's financial service has been available on the market for many years and because of this the financial company has to use its mean to lure and convince the customers .the completions usually based on which financial company offers the best and fast service. AVAILABILITY OF SUBSTITUTES Non-financial competitors offer the financial company a treat of substitution. The treat of payment method substitute loans are relatively high for the financial institution as a time non-financial companies offers relatively lower inters rate and this lead to a treat of substitutes. KEYS TO SUCCESS Some of the key factor that leads to success in the financial sector are as follows; Measuring of the marketing efforts. Here the tracking system needs to take into various account factor and how you're measuring the marketing efforts and this help in identifying the marketing strategies sell the most financial and service. Communicating Brand. This is a way of getting both the customer service and the employee to recognize your brand and buy in to your financial service marketing. On the other hand, it's important for the company to educate the target market on the quality of the service provided by the company Utilizing the technology. Your customers require an instance accessibility and fast quality service. By the use of technologist helps the company to respond more rapidly and fast to the customers need and also changes in the market giving the CONCLUSION The domination of the trusted and big financial companies makes it difficult for the new companies to venture into the new market as a result of very high completion in the market. And these lead to the companies introducing a greater transparency so as to compete effectively in the market. RECOMMENDATION Some of the recommendation to the financial company are that the company should perceive inventiveness in controlling the risk that the company may be exposed to in the future. The recommendation puts the company in the vanguard in implementing its commitment. . AMAZON VS BEST BUY 3. ANNUAL REPORT (10-K) Brief insight on the two firms It is noted that, in early 2000s Best Buy was the magnet for shoppers. The customers thronged and unflinchingly bought many items at Best Buy. Later to 2012, and Best Buy is seemingly no longer the favorite among consumers. However, despite the troubles, Best Buy still remains a top reference company among the electronics shoppers. Almost a third of the more than 8,000 consumers monthly indicate they shop most often at Best Buy for electronics ahead of Wal-Mart (commanding about 20%) as well as the great rival Amazon.com (less than 10%). Further, over 10 years insights indicate that Best Buy's lead as the store shopped most often has not received any much challenge. Best Buy CEO's Message to Shareholders -2016 Best Buy recognizes the efforts to attract more investors by improving shareholder returns. The CEO announced that its Board of Directors were in the process of authorizing plan to return excess capital to shareholders in a manner evidently to increase their wealth. These incentives included a 22% increase in the regular quarterly dividend to $0.28 per share, to be effected immediately; the new $1 billion share repurchase plan expected to be completed in the next two years and on top of it a special dividend of $0.45 per share, or roughly $145 million; relating to the net after-tax proceeds from the legal settlements and asset disposals undertakings. The plan is in line with the company's long-term capital allocation strategy to first fund the operations and investments in growth, including more potential acquisitions and then return excess free cash flow over time to shareholders through dividends and share repurchases, at the same time maintaining a good investment grade credit performance. The trend of net income and revenue for best buy has not been that good in the entire period from 2011 to 2015.The Sales revenue dropped from $50.71 billion in 2012 to $39.53 billion in the latest in the first quarter of 2016.This reflect an overall decline of 22% .The recent drop was the slightest at 2.01% in 2015.The net income has subsequently become a victim of the declining sales and has also dropped from 1.25 billion in 2015 to $807 million in the latest filling of 2016 .This represents a 35.23% drop. Thus Best Buy management needs to re-strategize to reduce this devastating trend. Amazon CEO's Message to Shareholders -2016 On the hand, Amazon CEO's report reflected that the operating cash flow increased 44% to $11.3 billion for the year ending March 31, 2016 in contrast to $7.8 billion for the previous fiscal year ended March 31, 2015. The free cash flow increased to $6.4 billion in 2016 compared to $3.2 billion for the FY ending March 31, 2015. On the same note, the free cash flow less lease principal repayments increased to $3.5 billion for the 12 months, compared with $1.5 billion for the trailing twelve months ended March 31, 2015. The Common shares outstanding combined with shares of the underlying stock-based awards summed to 490 million on March 31, 2016, in contrast to 483 million the year before. Net sales increased 28% to $29.1 billion in the first quarter, compared with $22.7 billion in the same quarter 2015. Without the $210 million unfavorable impact from year-to-year changes in the forex rates throughout the quarter, the net sales increased by 29% compared to same quarter of 2015. The operating income was $1.1 billion in the first quarter, almost four times compared with $255 million in first quarter 2015. The net income of Amazon was $513 million in the first quarter, or equivalent of $1.07 per diluted share, compared with net loss of $57 million, reflecting $0.12 per diluted share, in same quarter of 2015. This reflected an improvement in share dividend to shareholders. This is attributable to the fact that Amazon devices are the top selling products on Amazon domains and customers purchased more than double as many Fire tablets as first quarter of 2014. The report further noted that Amazon is strategically building premium products at non-premium prices and are thrilled so many customers are responding to our approach so far. RATIO ANALYSIS Profitability ratio The profitability ratios in larger portion try to analyze the firm's shareholder or investor returns. It shows how the firm is leveraging its profitability to maximize shareholder returns. The profit margin of Best Buy have been quite stable though falling slightly from 2011 to 2015.This indicates that net income has not been performing well in the period may be occasioned by slight declines in sales also in the same period. However Best Buy has a better profit margin of 17.3 % in 2014 in comparison to the Amazon's 8%.This implies Best Buy has maintained significant sales and income relative to its competitor even both recorded drop in profits in 2015. The good performance for Best Buy is so far shown by the earning basic power which has been stable over the period with a rising trend. The earning basic power of Best Buy stood at 24% way above the 17% of Amazon in 2014.But this shows that Best Buy earnings before tax are good and stable in comparison to Amazon. Return on equity of Best Buy has remained very stable though declining from 2011 to 2015. The largest deviation recorded in the entire period is about is about 3%.What can be worrying Best Buy at the moment is the Amazon higher return on equity in 2014 of 66% almost doubling the Best Buy 37% in the same year. The EPS of both firms have been dropping significantly from 2011 and this was noted and has been a major concern for shareholders. In 2015 the EPS of Best Buy dropped to 1.36 from 1.48 the previous year and still performs well relative to its competitors Amazon which recorded a drop in EPS from 1.47 to 1.24 in financial year 2015. Liquidity ratio Liquidity ratios above are key indicators of firm's ability to service its debts, they are very important to an organization. The current ratio for Best Buy has been quite stable and on upward trend from 2011 up to 2013.The amount drops slightly in 2015 and this can be attributed to the drop in current assets and subsequent increase in liabilities as the firm executed its turnaround efforts. The Amazon's huge liability base has resulted in the dismal value of current ratio of 0.68, far below half that of Best Buy's (1.5) in the same period. It means the firm too is acquiring many assets for its growth strategy. The quick ratio of Best Buy exhibits similar trend as current ratio, continuous gain from 2011 to 2013 and a slight decline in 2015.In contrast, Best Buy's quick ratio is about double that of Amazon in the same period 2015.This shows that the firm has a limited liability base compared to cash and the receivables from short term investments. The cash ratio compares the amount of cash and its equivalents available to current liabilities of the firm. Best Buy's quick ratio exhibited continuous slight improvement from 2011 all the way to 2013, just limping slightly in 2015.An evidence that the firm has exhibited good cash maintenance generally in the same period. In comparison in 2015, Best Buy still exhibited a stronger cash ratio of 0.76 compared to 0.24 of Amazon. This is about three times and confirms the better performance of Best Buy over long period of time. Debt ratio Debt paying ability ratios generally focuses on firm's ability to repay debts most commonly in the long run. Beginning with the debt ratio, the trend has been stable and consistent with a deviation of only about 1% from 2011 to 2013.It only gets a slight increment in 2015.This increase in debt ratio can be attributed to acquisition of more resources or financials to support turnaround strategy which increased total liabilities. When you now compare Best Buy and Amazon, the debt ratio of Best Buy is slightly lower than that of yum brands implying that yum brands has more obligations in terms of liabilities. In debt to equity ratio, we see a similar trend of stability with slight increase followed by a significant shift or increment of about 38% between 2014 and 2015.The decline can be due to decline in net income in the same period which affects the retained earnings. This can be attributable to the increased investments could have led to increase in liabilities relative to equity. In contrast to Amazon, Best Buy has a better debt to equity at 1.67 because that of Amazon is more risky standing at 4.2 in the same period. It means Amazon has a large debt margin in comparison to equity and this is too risky for the firm especially because it will increase the interest expenses. The times interest earned compares EBIT and interest expenses in a given period. Times Interest for Best Buy was highest in 2011 dropping continuously at a moderate rate up to 2013 with a significant overall decline in 2015, this shows that interest expense has been increasing for Best Buy over the same period. The comparison with Amazon further reveals a very small gap between the two with Best Buy at 12.72 times and Amazon at 11.2 times in the year 2015. Activity ratios Activity ratios often indicate the company sales per another asset account. They therefore measure how efficient Best Buy and Amazon are in using its available resources. The most common asset accounts are the accounts receivable, inventory and total assets. Accounts receivable refers to the total amount of money due to a company for the good sold on credit . The accounts receivable turnover for Best Buy stood at 45.2% in 2015 compared to Amazon's 54% .This exhibits how quickly Best Buy collects what is owed to it compared to Amazon and indicates the liquidity of the receivables. It is clear that for any firm to be profitable, it must be able to manage its inventory, because it is money invested that does not earn a return until the product is sold. A higher inventory turnover ratio indicates a better effective cash management and decreases the incidence of inventory obsolescence like the case in Best Buy. The best measure of inventory utilization is the inventory turnover ratio (inventory utilization ratio). The total asset turnover on the other hand evaluates the return on each dollar invested in assets and actually equal to the net sales, which is total sales less the cash sales less returns and other allowances, as a factor of average total assets. Best Buy's asset turnover is at 2.4 times compared to Amazon's 1.9 in 2015.Amazon thus generates less revenue for each dollar it invests in assets compared to Best Buy averagely in the entire period from 2011 to 2015. 4. FINANCIAL STATEMENTS In review of financial statements, in the most quarter which ended January 2016, Best Buy reported that revenue fell to $11 billion from $11.4 billion in the same period a year ago. Comparable store sales also further dropped 1.4%, compared to an increase of 2.6% in the same quarter a year ago. However, the online revenue increased 12.6% on top of a 13.4% increase previous year in addition to significant improvement in our Net Promoter Score. The Best Buy however will need to do much better than that to increase its market share in electronic device e-commerce because of the setbacks Best Buy may make it appear as a bad investment, but any turnaround effort always have its ups and downs. The serious issue here is that over the three years that Joly has been at the helm, Best Buy has not made significant performance progress. The firm has slashed the annual costs by over a billion dollars and exited some its underperforming businesses undertakings , did the company needed all of the savings and more funds to invest in lower prices to counter the threat from Amazon. In the fiscal 2012, Best Buy's adjusted its operating margin to 4.7%. The year before, it had been at 5.1%. In contrast to FY 2015, Best Buy's adjusted operating margin was just 3.7%. All of this margin contraction has reflected on the gross margin side, indicating the harmful impact of price competition from Amazon. However, earlier in the 2015, Best Buy finally seemed to be back to its growth trajectory. It posted flattish comparable store sales growth which was up by 3.8% year over year. This drove higher revenue and earnings beat sending Best Buy stock up 15%.Funnily, the improvement in Best Buy's sales trend was a short-lived phenomenon. Domestic comparable store sales growth slowed to just 0.8% in third quarter of 2015, with total revenue down to 2.4% attributed to steep declines outside the US market. On the other hand, the Best Buy and Amazon numbers were not exactly compatible, since the Best Buy number is not a full report of quarterly results. In its most recently reported quarter, Amazon's revenue rose 22% to $35.7 billion. Amazon has several advantages over Best Buy, the most significant being its prime plan, which gives subscribers a measure of free shipping and unlimited access to a massive vault of video and music for $99 a year. Amazon's results are also bolstered by the cloud Amazon Web Services, which has put it into an entirely new business in which it has a huge market share lead. The best measure of the two companies is their five-year revenue trajectory. In 2010, Best Buy's revenue was $50 billion, which has fallen to $40.1 billion in the most recent year. In 2010, Amazon's revenue was $34.2 billion and most recently it was $107 billion in 2015.The Common shares outstanding for Amazon plus shares underlying stock-based awards totaled 490 million on March 31, 2016, compared with 483 million the previous year. Net sales increased 28% to $29.1 billion in the first quarter, compared with $22.7 billion in first quarter 2015. Excluding the $210 million unfavorable impact from year-over-year changes in foreign exchange rates throughout the quarter, net sales increased 29% compared to first quarter 2015. Operating income was $1.1 billion in the first quarter, compared with $255 million in first quarter 2015. The Net income also is in an upward trend increasing to $513 million in first quarter of 2016. 6. ETHICAL ISSUES AND CONCLUSION ETHICAL ISSUES In this section we will highlight the ethical circumstances that have threatened to taint the faces of the two companies. Starting with Best Buy ;the world's largest consumer electronics chain is at the moment, reeling from its own CEO, Brian Dunn scandal .The CEO had to resign abruptly during a board of director's probe into these allegations of personal misconduct. It has been reported that the probe involved allegations of misuse of company assets in relation to an inappropriate relationship with a female worker. Dunn's departure further renewed the major concerns about potential conflicts of interest in the retailer's management. Furthermore, concerns have been raised on issues surrounding favoritism granted to Best Buy founder Richard Schulze's relatives and transactions connected to Schulze's immediate family which appeared to be preferential treatments. The allegations included jobs packages with big paychecks to the Schulze family, the large sums of money spent on products from a company believed to be owned by Schulze's brother. There have also been the real estate and aviation agreements with businesses owned by Schulze and extravagant spending on services from companies that have connections with Best Buy board members. The ethical problems facing Best Buy appear to be more deeply-rooted, at a moment when the company should not be distracted. Despite all these allegations, Schulze still serves as the Best Buy's chairman and still the largest shareholder with 20 % of the company's stock. We hope Best Buy is going to handle these ethical issues or sources of potential conflicts through the inquiries which are undergoing to make it retain their customer trust; otherwise they can easily bring the company to its knees. On the other hand, Amazon has attracted criticism and controversy from multiple sources since its inception. The amazon ethical issues are counter-competitive; where the ethics of certain business practices and policies have been questionable. Amazon has faced numerous allegations of anti-competitive or monopolistic behavior, which were battled in and out of court. This includes documented instances of price differentiation, the enforcement of controversial patents against its competitors, the attempts to prevent discounted direct selling by the publishers and a declared intention to stop the working with a third-party print on demand services in favor of its own benefits. In 2002, Amazon faced a challenge to the legitimacy of their Canadian operations, even though that case was subsequently dropped. A 2009 ruling in Japan found that the company had tried to avoid paying corporate tax in the country, was in fact liable to pay. Controversy over taxation has arisen on multiple occasions in the past; it was reported sometimes in 2012 that Amazon was under investigation in the Britain, while back in the US, it had attracted criticism for collecting sales tax from customers in only five states. Compounding these problems together, there have been reports of poor treatment of workers, with allegations of summary dismissals for health problems and the imposition of anti-unionization tactics including forced mass layoffs. Furthermore, Amazon's system of employee monitoring is the most oppressive as it combines state-of-the-art surveillance technology. In an investigative report for the London Financial Times, economics correspondents describes how, Amazon tags its employees with personal satnave (satellite navigation) computers that tell them the route they must travel to shelve consignments of goods, but also set target times for their warehouse journeys and then measure whether targets are met. CONCLUSION To sum it is clear that we have analyzed the financials and the ethical issues surrounding two rival firms in electronics industry. We will further specifically review each individual firm's summary and provide our suggestions .The real future of Best Buy though is in the services sector lies in electronics. Having competent staff and providing quality service is a differentiating factor that Best Buy must fully exploit to remain profitable in the future. Amazon has the enough resources and their investor willingness to operate at a loss each quarter in order to gain market share. Best Buy unfortunately does not have that option. It is true that Best Buy invests a lot of time and money in protecting their image and integrity unlike Amazon. Their duty to employees and customers involves incorporating a check and balance system for the purpose of eliminating activities that could tarnish their reputation by utilizing the Business Code of Ethics. The retail industry therefore remains fiercely competitive. Shopping centers, department stores and big box chains had been fighting for Americans' business long before the Internet started to pose a serious threat. For instance, when Amazon Inc. was founded in 1994, people could not have foreseen that it would shake up the market and industry and cause major retailers to shut down or downsize. I would advise a potential investor to purchase shares from or invest in any of the duo firms. This is because with the discussed issues on table and good strategies on course, I believe both companies have a good chance of performing well. This will be well achieved if the financial issues surrounding their income and revenue are properly addressed as well as the ethical drawbacks which seem to be cutting across the sector. REFERENCES 1. Kelly G., Ethisphere names Best Buy to 2010 list of World's Most Ethical Companies. Best Buy. March 27, 2010. 2. Lee K.Y., Jin Y. , Rhee C. & Yang S.B. , (2016) .Online consumers' reactions to price decreases: Amazon's Kindle 2 case. Internet Research, 26 (4), 1001 - 1026. 3. Shahrokhi M., (2008) .Efinance: status, innovations, resources and future challenges. Managerial Finance, 34(6), 365 - 398. 4. Chevalier J.A. & Goolsbee A., (2003), Valuing Internet Retailers: Amazon and Barnes & Noble, in Michael R. Baye (ed.) Organizing the New Industrial Economy (Advances in Applied Microeconomics, Volume 12) .Emerald Group Publishing Limited, 73 - 84. 5. (2004), Out with the old Best Buy: New practices bring remarkable transformation. Strategic Direction, 20 (7), 19 - 21. 6. Chakravarthy B. & Lorange P., (2007) .Continuous renewal, and how Best Buy did it. Strategy & Leadership, 35(6), 4 - 11. 7. Gibson E. & Billings A., (2003) .Best practices at Best Buy: a turnaround strategy. Journal of Business Strategy, 24 (6), 10 - 16. 8.Sec.Gov Edgar filings. 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The company will be based on Manhattan New York and lead by example to the provision of service and research and become responsible for the analysis and making a recommendation to the client. MISSION The mission of the company is to become the financial service premier organization in the world that make the financial service and investment company with an outstanding both financial analysis record and financial practices. The company offering the best service and New York financial investment will succeed as the company of financial service as well as having a positive inflation on finance in the market. VISION To become a distinguishing and prudential as is become a trusted financial partner in the fields of financial services in providing a solution to the financial challenges in the world. N.Y FINANCIAL INVESTMENT SWOT ANALYSIS STRENGTHS Due to the centralization of the company it would have many customers due to geographical location. Transparent structure of the business will also build its image as it will have relatively good structural designed and a high degree of flexibility and hence decision making of the company. WEAKNESS Some of the weakness that might be experiencing are as follows; High sector of exposure Exposure of the exchange rate for example US dollars and Euro may impact the growth of the company. The global requirement of high staff recourse my become a challenge of the company. OPPORTUNITIES Example of opportunities the may be experienced by the company include the following; Enabling new client relationship within the market. The risk is taken on the margin line The expansion the investment forum in the market. Enhancement of the advisory and banking sectors TREATS The company may experience various treat from the other financial intuition and also from the entire environment. Some of the treat include; The rising threat of the recession from the global financial market. The rapid and significant changes that may be experienced in the transport sector. The increase of the government regulatory rules. The rapid volatility of the commodities price. FIVE PORTOS FORCES TREAT OF THE NEW ENTRANTS. Despite the regulation of the minimum capital requirement of starting any financial service there have been some financial services that have gain entrance into the market in the last five year and despite this, all the treat of the new financial institution is too high. POWER OF THE SUPPLIERS Capital is the main primary requirement of any financial companies, and here there is four major supplier sin the financial field as follows; loans, mortgage securities, the customer's deposits, and other financial institutions. POWER OF BUYERS Buyers do not usually pose a much treat to the financial service in the market but instead the major factor that is affecting the buyer is the relativeness high changing the cost for example if the customer wants to change from it can be costly for the customer to change to another financial service. COMPETITIVE RIVALRY There is high competition amongst the financial service providers in the market's financial service has been available on the market for many years and because of this the financial company has to use its mean to lure and convince the customers .the completions usually based on which financial company offers the best and fast service. AVAILABILITY OF SUBSTITUTES Non-financial competitors offer the financial company a treat of substitution. The treat of payment method substitute loans are relatively high for the financial institution as a time non-financial companies offers relatively lower inters rate and this lead to a treat of substitutes. KEYS TO SUCCESS Some of the key factor that leads to success in the financial sector are as follows; Measuring of the marketing efforts. Here the tracking system needs to take into various account factor and how you're measuring the marketing efforts and this help in identifying the marketing strategies sell the most financial and service. Communicating Brand. This is a way of getting both the customer service and the employee to recognize your brand and buy in to your financial service marketing. On the other hand, it's important for the company to educate the target market on the quality of the service provided by the company Utilizing the technology. Your customers require an instance accessibility and fast quality service. By the use of technologist helps the company to respond more rapidly and fast to the customers need and also changes in the market giving the CONCLUSION The domination of the trusted and big financial companies makes it difficult for the new companies to venture into the new market as a result of very high completion in the market. And these lead to the companies introducing a greater transparency so as to compete effectively in the market. RECOMMENDATION Some of the recommendation to the financial company are that the company should perceive inventiveness in controlling the risk that the company may be exposed to in the future. The recommendation puts the company in the vanguard in implementing its commitment. . AMAZON VS BEST BUY 3. ANNUAL REPORT (10-K) Brief insight on the two firms It is noted that, in early 2000s Best Buy was the magnet for shoppers. The customers thronged and unflinchingly bought many items at Best Buy. Later to 2012, and Best Buy is seemingly no longer the favorite among consumers. However, despite the troubles, Best Buy still remains a top reference company among the electronics shoppers. Almost a third of the more than 8,000 consumers monthly indicate they shop most often at Best Buy for electronics ahead of Wal-Mart (commanding about 20%) as well as the great rival Amazon.com (less than 10%). Further, over 10 years insights indicate that Best Buy's lead as the store shopped most often has not received any much challenge. Best Buy CEO's Message to Shareholders -2016 Best Buy recognizes the efforts to attract more investors by improving shareholder returns. The CEO announced that its Board of Directors were in the process of authorizing plan to return excess capital to shareholders in a manner evidently to increase their wealth. These incentives included a 22% increase in the regular quarterly dividend to $0.28 per share, to be effected immediately; the new $1 billion share repurchase plan expected to be completed in the next two years and on top of it a special dividend of $0.45 per<><>