Business Report: Motivational Theories, Finance, and Investment

This report delves into various aspects of business development, starting with an examination of different motivational theories applicable to the retail sector, specifically focusing on Jack discount stores. It analyzes Maslow's hierarchy of needs and Vroom's expectancy theory, highlighting their advantages and limitations in motivating employees. The report then transitions to financial strategies, differentiating between short-term and long-term sources of finance and their implications for business expansion. Finally, it explores investment appraisal techniques, including payback period, accounting rate of return, net present value, and internal rate of return, illustrating their application in evaluating investment opportunities, such as the acquisition of ferries by Zylla Limited. The report provides a comprehensive overview of these interconnected business concepts.

Business Individual Report

Table of Contents
INTRODUCTION.......................................................................................................................3
TASK 3........................................................................................................................................3
Different motivational theories for Jack discount stores....................................................3
TASK 4........................................................................................................................................6
Short-term and long-term sources of finance.....................................................................6
Investment appraisal techniques ........................................................................................7
CONCLUSION............................................................................................................................8
REFERENCES............................................................................................................................9

INTRODUCTION
Investment appraisal techniques are considered to be the important aspects which is
used to have the proper level of identification over the attractiveness of investment. This is
considered o be more important in order to have proper level of assessing availability of
project along with program and portfolio decision-making. The company Zylla limited is the
one who are the major level of offering of ferries in order to have crossing over river along
with vehicles ans goods. The company have analysed there is increase level of demand and
decided to have expansion of business by buying more number of ferries for further
development.
For this acquisition company needs to have assessed of both long term and short funds
in order to have proper level of assessment of capital requirement which is needed at time of
companies expansion. The company ill used various level of investment appraisal techniques
to have proper level of valuation of product.
TASK 3
Different motivational theories for Jack discount stores
In the context of retail sector of the UK, it can be said that it is increasingly or rapidly
increasing competition. There are several stores in the UK that are popular and increasing
competition such as Tesco, Aldi, Sainsbury's, Lidl etc. For competing with Aldi and Lidl,
Tesco has now announced to open a new discount store Jack which will follow the same
culture and values as like Tesco. The main aim of opening this new store is to make a strong
position in the market, taking competitive advantages and satisfy customers by providing
qualitative services and products at affordable prices or on discounts. For accomplishing goals
and mission, it is important to have skilled workforces because employees are only one who
performs activities and help the company in accomplishing their goal (Healy, 2016).
Employees who are motivated and valued they only support the company so, the main task
and activity which need to be performed and focused by Tesco and discount store Jack is to
motivate employees and make them able to increase their productivity. There are several
effective motivational theories by which Jack store can accomplish its goals. The main and
effective motivational theory is:

Maslow's need hierarchy theory: This theory is used by several retailers of the UK as ikt is
based on human needs by which companies can identify as well as satisfy needs of their
employees which is the main aim. Different types of needs are being divided into a
hierarchical manner from lower to the higher order such as:
Physiological needs: It includes all basic needs which all types of people seek for
initially or which are important to human life such as: water, food, clothing, air etc. before
satisfying any other type of needs, it is important for Tesco or Jack store to be met these needs.
Safety needs: After satisfying primary or basic needs, employees seek security and
safety against any accidents and dangers. They prefer to work in an organization whose
working conditions are favourable and safe. By satisfying these needs, company can improve
their health and make them feel fresh and energetic as well.
Social needs: It can be said that man is a social being as he/she lives in a society where
he/she interact with many people. Rather working, he/she wants social interaction,
belongingness. It makes them feel good and refreshed. So, it is also important for jack store to
fulfil these types of needs by making its working environment friendly.
Esteem needs: It refers to self-esteem or self-respect. After satisfying all basic and
other needs, employees want self-respect and self-confidence which can help them out in
accomplishing their personal as well as professional goals (Bouzenita and Boulanouar, 2016).
Fulfilment of this need lead employees to strength, self-confidence which make them feel
useful for the company.
Self-actualization: It is the higher level of needs. Satisfying this need is somehow
difficult as in this type of need, people have desire to achieve everything they possibly can and
become the most that they can be.
So, from the above discussed theory and all types of needs, it can be said that discount
store Jack can motivate employees and their different types of needs and make them able to
stay with the company for the long run.
Advantages of this theory
 One of the main importance of this theory is it is easy or simple to understand as jack
store can easily develop and apply this theory for their employees.
 It is all related to human nature and behaviour and helps company in identifying each
and different types of needs of people.

 It can be applied in different fields and types of company.
Limitations
 The main disadvantage of this theory is it is difficult to measure or with developing
this theory, manager of jack store can find some difficulties in measuring effectiveness
of this theory as well as of employees needs.
 It is based on clinical observation not on scientific research.
 This theory has some cultural differences as it assumes that the same needs can be
applied equally to all human societies or employees.
Vroom's theory of expectancy: This theory believe that an individual or an employee will
behave in a certain way as they are motivated to select a specific behaviour over others in
order to get the same behaviours from others (Baumhof and et.al., 2017). It also believes that
there is a strong relationship between efforts and performance. Some other beliefs on which
this theory is based are;
Valence: It refers significant association by an employee about their desired outcomes.
It includes some things which employees expect from an organization after accomplishing
goals and performing effectively such as: promotion, money and other benefits. It does not
consider actual satisfaction as it is only an expectation.
Expectancy: This factor believe that employees have different expectations which
they expect on the basis of their capability. According to this need, Jack store needs to identify
that which resources and training employees need to perform better.
Instrumentally: It refers a faith that if employees perform well, then a valid outcome
will be there. This is affected by some factors such as believe in people who decide on their
own that which employee will receive what outcomes. It is the correlation between
performance and outcomes (Baumann and Bonner, 2017).
So, as per the Vrooms' theory it can be said that it is all about performance of
employees in which employees decide whether to perform or not on the job. This decision
depends upon the motivation which they receive.
Advantages
 It is mainly based on self-interest of people who want maximum satisfaction.
 It focuses on general expectations and perceptions which employees expect from an
organization.

 It also focuses on employees' performance which is beneficial for both employees and
employers.
Limitations
 This theory is not practical or does not have specific rules as it seems to be idealistic.
 Application of this theory is also limited as rewards cannot be correlated with
performance all the time.
TASK 4
Short-term and long-term sources of finance
It is stated that Zylla Limited operates a number of ferries that offers river crossing
facilities and services to people. For expansion and acquisition of the ferry as well as paying
for the working capital, it requires short-term and long-term sources of funds. Getting funds
from both sources is mainly depned on the time period for which, the company needs fund.
Short-term: These sources of finance are repayble within approximate 1 year or may
be less. The main aim of the company to get short-term fund is to meet temporary shortfall in
the funds. So, it can be said that the contraint of this type of finance is the limited amount of
funds. As Zylla Limited wants fund for paying for the working capital so, it can take help
from these types of sources. Some examples include: credit and commercial papers (Walther
and Nguyen, 2018).
Long-term: Long term finance is mainly used by businesses when it thinks about
buisness growth and expansion. It is already stated that Zylla Limited wants to expand its
business or acquisite ferry so, it will require long-term finance. Some effective examples of
long-term sources and finance are: venture capitals, equity and term loans. This type of
finance may be linked with the ownershio of an organization or with debts. The main aim and
benefit of getting funds from long-term sources is to get larger lvolume of funds and invest it
in expansionof business and earning profit. As like short-term finnace , this fund can not be
repayble within a year as it often becomes a part of capital of the company (Leon, 2019).
So, it can be said that by making an effective use of equity and other sources, Zylla
Limited can get long term finance and can expand or acquisite of the ferry. On the other hand,
with the help of credit and other sources of short-term finance, it can pay for working capital.

The company Zylla limited is the one who are the major level of offering of ferries in
order to have crossing over river along with vehicles ans goods. For this acquisition company
needs to have assessed of both long term and short funds in order to have proper level of
assessment of capital requirement which is needed at time of companies expansion.
Investment appraisal techniques
Investment appraisal techniques are used t have the collection of various techniques
which is used to have the attractiveness of the investment in more appropriate
manner(Alkaraan, 2017). Generally the purpose of company is to have the assessing the
availability of projects along with programmes to have effective decision-making and
development of portfolio in significant way.
As in the case it has been discuses that the company is to have the evaluation the
measurement of the having the investment appraisal techniques. There is existence of various
investment appraisal techniques such as the-
1. Payback Period Method
This is usually been used to be expressed in years which is in order taking the cash inflows
along with capital investment which is equal to cash flow. In pay back period the cash inflow
is equal to the projects total cash flow.
2. Accounting Rate of Return Method.
This is also known as return on investments or return on Capita employed which is more
normal employing accounting which have proper level of measurement in increasing the profit
s been expressed as the profits raised by investment which is percentages of capital one.
3. Net Present Value Method
The objective of the firm to have order to have creating of wealth to have saving of existing
and future level of resources. This helps in discounting all level cash outflows and inflows
attributable to a capital investment project by a chosen percentage e.g., the entity’s weighted
average cost of capital.
4. Internal Rate of Return Method
It is percentage level of discount which is under as in capital investments which s bring as cost
of projects ans compare to its cash inflows along with equality (Kengatharan and Nurullah,
2018). The IRR is also defined as the rate at which the net present value is zero.

For the further level of calculation in order to have proper examination regardless the
purchased of ferry, the net present value will be used to have the evaluation of techniques.
Year Cash inflows PV factor @ 10% Discounted cash
inflows
1 55230 0.971 53621.359223301
2 70045 0.943 66024
3 88375 0.915 80876
4 79870 0.888 70963
5 57555 0.863 49647
Total discounted cash inflow 321132
Initial investment 150000
NPV (Total discounted cash
inflows - initial investment)
171132
82668
=132297
CONCLUSION
From the above file it can be concluded as the Investment appraisal techniques are
considered to be the important aspects which is used to have the proper level of identification
over the attractiveness of investment. The company have analyzed there is increase level of
demand and decided to have expansion of business by buying more number of ferries for
further development. As Zylla Limited wants fund for paying for the working capital so, it
can take help from these types of sources such as credit and commercial papers. The
coampsny is havsing teh uses of net present valsue in ordwr have the calsuetion of
devalopemnt of new investment techniques.

REFERENCES
Books and journals
Alkaraan, F., 2017. Strategic investment appraisal: multidisciplinary perspectives. In
Advances in Mergers and Acquisitions (pp. 67-82). Emerald Publishing Limited.
Baumann, M.R. and Bonner, B.L., 2017. An expectancy theory approach to group
coordination: Expertise, task features, and member behavior. Journal of Behavioral
Decision Making. 30(2). pp.407-419.
Baumhof, R. and et.al., 2017. An expectancy theory approach: What motivates and
differentiates German house owners in the context of energy efficient refurbishment
measures?. Energy and Buildings. 152, pp.483-491.
Bouzenita, A.I. and Boulanouar, A.W., 2016. Maslow’s hierarchy of needs: An Islamic
critique. Intellectual Discourse. 24(1).
Healy, K., 2016. A Theory of Human Motivation by Abraham H. Maslow (1942). The British
Journal of Psychiatry. 208(4). pp.313-313.
Kengatharan, L. and Nurullah, M., 2018. Capital investment appraisal practices in the
emerging market economy of Sri Lanka. Asian Journal of Business and Accounting.
11(2). pp.121-150.
Leon, F., 2019. Long-term finance and entrepreneurship. Economic Systems.
Walther, T. and Nguyen, D.K., 2018. Modeling and Forecasting Commodity Market Volatility
with Long-term Economic and Financial Variables (No. 1824). University of St. Gallen,
School of Finance.