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Question 3 Company C is a public listed company headquartered in Country A, with a wide range of products, including clothing, jewellery, cosmetics, skin care

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Question 3 Company C is a public listed company headquartered in Country A, with a wide range of products, including clothing, jewellery, cosmetics, skin care products and perfumes, etc. Company C has a well-known brand with a history of more than 80 years. It has established an excellent brand image for the company because of the high-quality product. It has become one of the top ten luxury fashion brands in the world. Company C has unique product technologies and advanced production lines, which have won the company a competitive advantage in the industry. As a company producing luxury goods, Company C targeted at high-consumption groups. With the development of the perfume industry, many well-known international clothing companies have set foot in the perfume industry, and major cosmetics companies have successively launched various perfume products as well. The leading position of Company C has been threatened. After Country B joined the WTO, restrictions on the import and export of luxury goods have been relaxed, and the tariff restrictions on Company C's entry into Country B's domestic market have been lowered. Perfume has a strong market demand in Country B. The potential problem is that requirements of perfume for people in Country B are very different from those of people in Country A. It is challenging for Company C to gain a foothold in the Country B's market. Required: (a) Conduct a SWOT analysis on the company (max. 200 words). (16 marks) (b) Explain the three (3) valuation approaches and discuss the appropriateness of each method in valuing Company C (max. 200 words). (18 marks) Question 3 Company C is a public listed company headquartered in Country A, with a wide range of products, including clothing, jewellery, cosmetics, skin care products and perfumes, etc. Company C has a well-known brand with a history of more than 80 years. It has established an excellent brand image for the company because of the high-quality product. It has become one of the top ten luxury fashion brands in the world. Company C has unique product technologies and advanced production lines, which have won the company a competitive advantage in the industry. As a company producing luxury goods, Company C targeted at high-consumption groups. With the development of the perfume industry, many well-known international clothing companies have set foot in the perfume industry, and major cosmetics companies have successively launched various perfume products as well. The leading position of Company C has been threatened. After Country B joined the WTO, restrictions on the import and export of luxury goods have been relaxed, and the tariff restrictions on Company C's entry into Country B's domestic market have been lowered. Perfume has a strong market demand in Country B. The potential problem is that requirements of perfume for people in Country B are very different from those of people in Country A. It is challenging for Company C to gain a foothold in the Country B's market. Required: (a) Conduct a SWOT analysis on the company (max. 200 words). (16 marks) (b) Explain the three (3) valuation approaches and discuss the appropriateness of each method in valuing Company C (max. 200 words). (18 marks)

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