Strategic Analysis and Business Report: Catapult International Group

This report provides a comprehensive analysis of Catapult Group International Limited, a leading sports technology company. It begins with a business description, including its products, customers, and competitors. The report then delves into a microeconomic analysis, examining factors of production, fixed and variable costs, and cost structure. A significant portion is dedicated to the macroeconomic environment, discussing the impact of government policies, economic growth factors, inflation, unemployment, interest rates, and exchange rates on the company. Finally, the report addresses Catapult's sustainability practices, considering production and consumption externalities, and long-term business viability. The report uses data from 2016-2018 and provides tables and figures to support its analysis.

CATAPULT GROUP
INTERNATIONAL
LIMITED

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
1 CATAPULT GROUP INTERNATIONAL LTD.........................................................................1
1.1 Business description..............................................................................................................1
1.2 Customers..............................................................................................................................1
1.3 Competitors...........................................................................................................................2
1.4 Market share and Market Structure.......................................................................................2
1.5 Close substitutes....................................................................................................................3
1.6 Demand Curve:.....................................................................................................................4
2.CATAPULTS GROUP INTERNATIONAL LIMITED WITH MICRO ANALYSIS................5
2.1 Factors of Production............................................................................................................5
2.2 Fixed cost and variable cost..................................................................................................6
2.3 Cost structure analysis..........................................................................................................6
3. MACROECONOMICS ENVIRONMENT AND ITS EFFECT CATAPULTS
INTERNATIONAL LTD................................................................................................................7
3.1 Government impact...............................................................................................................7
3.2 Growth factors in Australia have impacts on Catapults Group International Limited.........8
3.3 Inflation.................................................................................................................................8
3.4 Unemployment......................................................................................................................8
3.5 Interest Rate..........................................................................................................................9
3.5 Exchange rate........................................................................................................................9
4.SUSTAINABILITY PRACTICE OF CATAPULT'S GROUP INTERNATIONAL LIMITED.
........................................................................................................................................................10
4.1 Production externalities.......................................................................................................10
4.2 Consumption Externalities..................................................................................................10
4.3 Long term business viability...............................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
As per emphasising on the motives and operational framework of any organisation which is
mainly based on enhancing operative level as well as rising profitability. It provokes them for
market research and analysing policies sustained by their competitors. Generating fruitful ideas
and level of operations which will encourage firm in determining its goals and setting criteria for
attaining them. In the present report, there will be discussion based on internal and external
analysis of Catapult Group International Limited which demonstrate the economic stability in
company.
1 CATAPULT GROUP INTERNATIONAL LTD
1.1 Business description
Trading Name Catapult Group International Ltd
Founders
Headquarters
Shaun Holthouse and Igor van de Griendt,2006
Prahran, Australia
Type of business Sports, Technology
Contact details catapultsports.com
Table 1 – Company Information
Catapult international ltd. Or Catapult sports is the largest company listed in ASX that
provides performance technology in all over world across 35 sports. The company provides
various athlete products tracking and analytic solutions worldwide. There are various
technologies and products which are been offered by the organization like Openfeild, a
customizable athlete monitoring device, Clear-sky, a local positioning system etc. The company
was started in 2006 with 300 employees. Teams, Universities, Institutes were served by the
Catapult Group International Limited.
1.2 Customers
Catapult international ltd. Supplies their products to the teams like Chelsea, Real Madrid,
Brazil, Saracens, and the Australian Cricket Team. It also supplies its products to the
organizations, leagues, governing bodies like wales and England Cricket Board, NRL and La
Liga.

Figure 1 Consumer turnover of Catapult Group International Limited
(Source: Catapult Group International Limited, 2018)
1.3 Competitors
The following in the list of competitors to CHL along with their registered locations.
COMPANY NAME REGION
A.M.C Enterprises Pty. Ltd Asia
Abyss Solutions Pty. Ltd Asia
Accu-Sort Systems Australia Pty. Ltd. Asia
Accuweigh Pty Ltd Asia
Advance Power Management Pty. Ltd Asia
Table – 2 Catapult's competitors
Following list determines the exporters of sports products
COMPANY NAME Country
NIVIA India
PATRICK Belgium
PEAK China
PUMA Germany
1.4 Market share and Market Structure

Market Share of Catapult International Limited
Market share of competitors:
COMPANY NAME Approximate Figures in
percentage
A.M.C Enterprises Pty. Ltd 14.25
Abyss Solutions Pty. Ltd 24.99
Accu-Sort Systems Australia Pty. Ltd. 22.84
Accuweigh Pty Ltd 44.20
Advance Power Management Pty. Ltd 98.11
1.5 Close substitutes
Considering various operational barriers which will be faced by an entity mainly relevant
with its products. The same features of commodities have been offered by various rivalries stated
in world which challenges the profitability of firm. Substitutes are naturally cheap in rates as
well as quality which attracts consumers due to their price sensitivity. Similarly, in sports and
technical industries there are many rivalries which are stated in the environment and are

consistently challenging the firm (Bajada, 2017). Thus, this operational variance creates
reduction in demand for a particular brand and will also affect the consumer back up for them.
1.6 Demand Curve:
Figure 2: Demand Curve
(Source: Demand Curve. 2018)
To ascertain the prices of certain commodities with comparison of consumer willingness for
spending in such utility. It demonstrates the simple concept which affects perception or choices
of buyers towards products and services offered by an industry. As per analyzing the competitive
behaviours of professionals which will be helpful in addressing operational variations and gains
in an industry (Chubb & Watermeyer, 2017). If number of rivalries is comparatively higher in
the location which will reciprocally affect demands for a specific brand. Catapults group
International limited has to analyze current market scenario mainly related with consumer
preferences, choices, changing governmental policies as well as operational activities of
competitors.

2.CATAPULTS GROUP INTERNATIONAL LIMITED WITH MICRO
ANALYSIS
2.1 Factors of Production
Factors of production are building blocks of the economy as these are those resources
which people uses to produce goods and services. Economist has divided the factors of
production into four categories that are land, labor, capital and entrepreneurship.
Land It consisted of all these resources which came from the land like water,
copper, natural gas, coal, forest, oil etc. In the production process, land
resources are raw material. These resources can be renewable as well as
nonrenewable. Renewable includes forest, and nonrenewable includes
the oil and natural resources.
Labour The contributions of efforts of people to production of goods and
services. Labour resources consisted of waiter that serve food in local
restaurants as well as engineer who designed bus that transports to the
school (Penrose, 2017). Any work which is done by human and renders
some services comes under labor factors of production. The revenue
generated from resources of labor is called wages.
Capital Capital includes the machinery, building, tools which all requires for the
production of goods and services. Capital differs from area to area or
B2B. The obtained from owner’s capital is termed as interest.
Entrepreneurship Entrepreneurship is the fourth factor of production. In order to earn a
profit, the factor of production is combined by person called
entrepreneur (Downes, Hanslow & Tulip, 2014). The most flourishing
business person are originator who discovers fresh ways for production
of commodities or who creates new goods and services to bring to
market. Entrepreneurs are an essential engine of economic growth
serving to build some of largest firms in the world as well as some small
businesses in neighborhood. Entrepreneurs grow in economies where
they have the freedom to start businesses and buy resources freely
(Forsyth & et.al., (2014). The payment to entrepreneurship is profit.

2.2 Fixed cost and variable cost
There are two types of costs, fixed and variable cost in the point of view of Catapults
international ltd. The organization has categorized factors of production as an expense that
occurs in production process (Bennett & et.al., 2016). As fixed cost is permanent, it does not
change with the output. It represents that amount of the Catapults International Limited which
has to pay like land and building, plants and equipment's and motor vehicles. Therefore, variable
cost includes the price of the raw material, employee benefits, transportation cost, factory costs
etc.
Particulars 2017 2016
Fixed Cost
Property, plant and receivables 7710 4196
Variable cost
Employee benefits 28401 11066
Employee share option compensation
expenses 3256 290
Travel, marketing and promotional expenses 6111 3698
Factory cost 14224 2552
Capital raising and listing expenses 385 84
Occupancy 1972 862
Professional fees 3824 3351
Other expenses 6538 3586
Total variable cost 64711 25489
Total cost 72421 29685
Table 3 – Production costs (Catapult Group International Limited, 2017)
2.3 Cost structure analysis
In determining the costs implied in each activity as well as capital payable by
organization which will be appropriate and adequate as per meeting goals. Thus, total cost
implied in each business activities will bring an appropriate analysis over ability of firm in
making investment as well as analyzing market demands. It has importance in bringing the firm
and adequate strength and operational stability for managing profitability. Thus, it provokes
qualitative planning in an organization on which professionals will have authentic information
based on costs incurred in part of unit (Perry & Rowe, 2015). It will bound them in thinking or
decision making for suggesting the alternative to reduce costs implied in such activities.

Catapults Group International Limited will have benefits in analyzing costs spend over
producing the sports product and technical services offered by them. However, in comparison
with fixed costs the variables costs are comparatively higher in this organization. Which is based
on main expensed made to the workforce. Therefore, to build a relevant costs structure there is
needed to have implication of various techniques and tools for analyzing the data set.
Fixed cost 7710 4196
variable cost 64711 25489
Cost structure
Fixed cost/ variable cost 0.12 0.16
Table 4 - Cost structure
Interpretation: As per analyzing the outcomes on which it can be said that firm has rise
in level of production in current year as compared with past year. Thus, on which there has been
controlled fixed cost which is managed on lower level. Moreover, firm will have suitable
operational policies and costs implied in each function. The balanced income structure will be
adequate and helpful to entity in leading various activities.
3. MACROECONOMICS ENVIRONMENT AND ITS EFFECT
CATAPULTS INTERNATIONAL LTD.
3.1 Government impact
Catapults international ltd. is having its headquarters in Australia, where government has
made common wealth policies which is leaded by prime minister of country and house of
representatives (Bajada, 2017). focus of parliamentary government is in the sustainable
development and growth that is needed by nation.
Economic Policy It will have influences in Catapult Group
International Limited
Taxable exemptions for SME’s Various products in Sports industry have
benefits for adequate exemptions.
Development of infrastructure facilities There will be adequate development and
increment in the logistic flow for Catapults
Group International Limited.
Trade agreements There will be agreement of this organization
with Belgium, India, Germany etc.

3.2 Growth factors in Australia have impacts on Catapults Group International Limited
As per acknowledging national economy there have been various elements which will
affect growth of an entity (Chubb & Watermeyer, 2017). There can be various factors such as
reforms in governmental taxation policies, GDP rates, Inflation exchange rates etc. are main
concerns of national economy. Thus, changes in such areas will have impacts on operational
practices in the organization. Therefore, there will be positive as well as negative changes which
will influence activities of firm.
3.3 Inflation
Inflation occurs when general level of price for goods and services rises in an economy
for a specific period of a time. Inflation reduces purchasing power of buyers. When the rise in
level takes place every single unit of currency buys fewer goods and services. Inflation has
various positive and negative effect (Penrose, 2017). It usually causes due to imbalances between
quantity of money and needs of trade.
Enhances Investments There will be increment in capital gaisn of the
business which will be helpful to the
suppliers, shareholder as well as wholesalers.
Actual rate of interest There will be expansion of financial
operations.
Monetary purchasing power There will be stability in organization which
considering its suppliers and consumers.
3.4 Unemployment
Australia's unemployment rate has been increased and hit-ted 5.9 % in February. The
gradual fall in unemployment rate is considerable slack in labor market, with wages growth
likely to be maintain for number of years (Downes, Hanslow & Tulip, 2014). It provides the
direct effect in business because fall in skill Labour and employees arises which somewhere lack
productivity of organizations.
3.5 Interest Rate
The favourable petition of Catapult group international Ltd commodity steeple
enlargement, however, these expansions would require financed money, that would only be

possible if company had a favourable average interest rate on Bank Loans. In Australia, 1,5% is
number according to Reserve Bank of Australia (Reserve Bank of Australia, 2018) and
fortunately for catapult group international ltd, banks cannot go much away from these numbers.
The lower rate attracts investors, as these feel more secure in their investment.
3.5 Exchange rate
As per comparing AUD with USD there have been huge variations in exchange rates of
Australia. In approach towards balancing payments and current accounts of nation government in
Australia has been making various efforts in attaining tasks and managing the operational
efficiency in country.
Figure 3: Current GDP rate
(Source: GDP (Current US$). 2018)
4.SUSTAINABILITY PRACTICE OF CATAPULT'S GROUP
INTERNATIONAL LIMITED.
4.1 Production externalities
There have been various direct or indirect impacts on environment, society and economy
of the nation with production process. Thus, this will be negative or positive in nature. In relation
with attaining a great success there will be need of making proper operational planning (Forsyth

& et.al., (2014). In sports products and technical services there will be use of various resources.
Therefore, proper allocation and execution of process will help in balancing the environmental
factors in most prominent way.
4.2 Consumption Externalities
Sports products are mainly relevant with athletes and general people who have effective
fitness goals. Therefore, preparing the product which is consist of comfort, sustainability as well
as better quality management will be adequate in leading firm for attaining targets (Perry &
Rowe, 2015).
4.3 Long term business viability
With help of advertisements of products, the organization will probably increase petition for
the sports instruments needed by sports' person, or boards of same product line (Bennett & et.al.,
2016). Therefore, increment in price will encourage new business persons to enter into markets.
This will increase the competition among marketers.
CONCLUSION
On the basis of above report it can be said that to analyse influences of economic operations
in an industry there will be need of managing operational activities in a right way. There had
been discussion based on micro and macro level of factors which influences process of
operational practices. Catapults Group International Limited will have effective operational
planning and growth mechanism as if the professionals will analyse and manages activities of
firm.

REFERENCES
Books and Journals
Bajada, C. (2017). Australia's Cash Economy: A Troubling Issue for Policymakers: A Troubling
Issue for Policymakers. Routledge.
Bennett, S. & et.al., (2016). The ‘Great Southern Reef’: social, ecological and economic value of
Australia’s neglected kelp forests. Marine and Freshwater Research. 67(1). 47-56.
Chubb, J., & Watermeyer, R. (2017). Artifice or integrity in the marketization of research
impact? Investigating the moral economy of (pathways to) impact statements within
research funding proposals in the UK and Australia. Studies in Higher Education. 42(12).
2360-2372.
Downes, P. M., Hanslow, K., & Tulip, P. (2014). The effect of the mining boom on the
Australian economy.
Forsyth, P. & et.al., (2014). The impacts of Australia's departure tax: Tourism versus the
economy?. Tourism Management. 40. 126-136.
Penrose, E. T. (2017). Foreign Investment and the Growth of the Firm 1. In International
Business (pp. 33-48). Routledge.
Perry, M., & Rowe, J. E. (2015). Fly-in, fly-out, drive-in, drive-out: The Australian mining boom
and its impacts on the local economy. Local Economy. 30(1). 139-148.
ONLINE
Demand Curve. 2018. [Online]. Available through :<
http://knowledgegrab.com/glossary/demand-curve-2/>.
GDP (Current US$). 2018. [Online]. Available through :<
https://data.worldbank.org/indicator/NY.GDP.MKTP.CD?locations=AU&view=chart>.
Reserve Bank of Australia. 2018. [Online]. Available through :< https://www.rba.gov.au/>.
Using Cost Structure Analysis to Maximize Profit. 2018. [Online]. Available through :<
https://www.delawareinc.com/blog/cost-structure-analyzing-costs-to-maximize-profits/>.
Catapult Group International Limited. 2018. [Online]. Available through :<
http://www.catapultsoftware.com/images/Services/Infographic.JPG >.