logo

Improving Business Financial Performance

   

Added on  2020-01-15

12 Pages3237 Words157 Views
EntrepreneurshipPolitical Science
 | 
 | 
 | 
Financing Entrepreneurial Initiatives
Improving Business Financial Performance_1

Table of ContentsINTRODUCTION...........................................................................................................................31. Key determinants of value drivers, features of Juner's business model and business strategy32. Examine advantages and disadvantages of IPO......................................................................53. Factors to be consider while listing in stock exchange............................................................74. Evaluating market multiple approach .....................................................................................75. Compute implicit value of share..............................................................................................86. Application of free cash flow model........................................................................................9CONCLUSION..............................................................................................................................10REFERENCES..............................................................................................................................122
Improving Business Financial Performance_2

INTRODUCTIONThe business role has increases by focusing on their existing strengths in order to beattheir competition. New Juner material has been selected for explaining the role of entrepreneur inimproving their financial conditions. This report is all about defining key features of the Sevendomain framework applied in assessing the efficiency of the business. The effectiveness ofdecision of offering equity shares are also evaluated on certain parametres.1. Key determinants of value drivers, features of Juner's business model and business strategyThe Juner material is a business developed by an entrepreneur who started their businessbased in china (Mazzucato, 2015). The current business is based on the modified plastic industrywhich manufactures unique quality and variety of products offered in front of customers. Thiscompany has established with a total customer base of 300 employees who are regarded as thestrength of this entity and the owner. The capabilities of the business are strong enough to inraising the customer satisfaction towards the products offered to the different set of customers.The Juner's current business model and its business strategy are given as follows:Seven Domain FrameworkThis approach is applied in assessing the existing business environment of Juner environment byseeking market domain and the industry perspectives. This framework is based on the macro andmicro level of the business environment (Amorós, Bosma and Levie, 2013). There are certainelements of this particular framework which are given as below:1. Market attractiveness- This particular element emphasized on efficiency of the large scalenvironment in relation with the internal business factors. The PESTLE analysis need tobeconsidered in assessing the internal capabilities of an entity in relation with the external market.Political environment- The rules and regulations framed by Chinese government byimposing practices in manufacturing plastic products without producing in excessquantity.Economic environment- Juner material are required to consider the inflation rate whichincreases their variable cost which in turn increases the price of products or services.Social- The market can be dominated by attracting wide number of customers byproducing products according to the tastes and preferences of buyers.3
Improving Business Financial Performance_3

Technological- The competition can be curtailed in the existing business environment bytaking advantage of existing technology in polishing the fashion stones. The finishing inproducts can be generated by using innovative technology.Legal environment- The taxation requirements need to be taken into account as this willaffect an entity's business performance by increasing their expenses.Environmental environment- The environment will not be affected by producing plasticproducts as it affect the nature of business environment. The limits and standards need tobe maintained in order to achieve all kinds of objectives.2. Target market- The current business entity of new Juner material deals in providing varietyof modified plastics products or services (Mazzucato, 2015). The overall market can besegmented into different criteria used by an entity in accomplishing their objectives within agiven time period. The current market will be segmented into demographic, geographical, qualityof products, income level of employee and existing market conditions. The overall objectiveswill be fragmented into various pieces to achieve their aims and targets within a give time frame.3. Industry attractiveness- The attractiveness of the overall plastic industry can be assessed byapplying porter's five forces analysis.Threat of new entrant(Moderate)-The new rival can enter in this industry as theexternal market changes will invite newcomer to try their luck while operating theirbusiness in earning higher amount of profit.Bargaining power of suppliers(High)- The suppliers who provide raw materials inprocessing them into finished products is high as they have power to dominant thebuyers.Bargaining power of buyer(less)- It has no power to negotiate with the suppliers asthere primary need is to cater the needs of different individuals.Threat of substitutes(High)- The products are offered to different customers inaffordable ranges will steal the interest of price sensitive customers.Rivalry among current players(Moderate)- The uniqueness of products incorporate byan entity in their original products will set their unique identity among the externalmarket.4
Improving Business Financial Performance_4

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
Valuation Models for Risk Mitigation
|16
|4003
|41

Application of Free Cash Flow Model
|13
|3074
|242

Entrepreneurship and Innovation Management PDF
|13
|2644
|23

Development of an Entrepreneurial Opportunity: Bio Clothing
|8
|1747
|70

Entrepreneurial Opportunity: Analysis of Business Opportunities for a New Honey Shop in the UK
|7
|1330
|92

Innovation and Commercialization
|19
|1301
|90