Question
It is commonly believed that all corporate organisations have a life cycle in the same way that a person has a life cycle. The first
It is commonly believed that all corporate organisations have a life cycle in the same way that a person has a life cycle. The first phase of a females life is conception and birth. The individual will then grow and during her childhood and adolescent phase, she may or may not reach her full potential. At some point in adulthood, the woman matures and has a stability. The lady will then enter into old age and ultimately die. A corporation is similar in that first it must be born. It then grows and may or may not reach its potential before it matures. At this point, the corporation must renew itself or it too will die. Many corporations have renewed themselves a number of times through reinventing their brand, buying another company, merging, or introducing new products. This case study gets you to become familiar with corporate organisations, their histories, objectives, and the major events that affect them. Q1. Choose any company and visit its website. Q2. Track the life story of the company by reading its history, news stories, and financial accounts. Identify a. its birth date, b. the year in which you think it entered maturity, c. events where you believe the corporation renewed itself (there may be more than one), d. its death date. Q3. What were the major events in your companys life? Identify whether these were positive or negative financial strategies applied and discuss how the effect on the company. Q4. If the company has died, review the actions or events that killed it. If it is still living, what do you think the future holds for the company in the context of their corporate financial strategy?
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