Motivation, Finance, and Business Growth: A Detailed Case Study

This assignment consists of two main tasks: a case study on Jack Stores, analyzing motivation theories like Maslow's Hierarchy of Needs and McClelland's Theory of Needs, and a report on Zylla Limited, evaluating short-term and long-term financial sources for business expansion, including investment appraisal techniques such as the payback period and NPV rule. The case study explores the benefits and drawbacks of applying motivational theories to enhance employee productivity and satisfaction. The report recommends Zylla Limited to pursue long-term financial sources through special financial institutions and suggests using the Payback Period Method for investment appraisal, providing insights into managing financial requirements and making informed investment decisions. The document is contributed by a student and available on Desklib, a platform providing AI based study tools for students.

Introduction to
Business studies

Table of Contents
TASK 3: CASE STUDY.................................................................................................................1
Introduction............................................................................................................................1
Main Body..............................................................................................................................1
Conclusion..............................................................................................................................3
TASK 4: REPORT...........................................................................................................................4
Introduction............................................................................................................................4
Main Body..............................................................................................................................4
Conclusion..............................................................................................................................6
REFERENCES................................................................................................................................7

TASK 3: CASE STUDY
Introduction
Motivation plays an important role that influences employees to perform their job role in
company. It is one of the essential factors that lead employees towards the growth and success
(Huang and et. al., 2021). For this report, Jack Stores is considered which is the British
discounted supermarket chain situated in Hertfordshire and owned by Tesco. This report covers
the two motivational theories in context of Jack Stores with suitable benefits and drawbacks.
Main Body
Motivation is the state of mind, filled with energy and enthusiasm that derives a person to
work towards a particular goal or outcome. It is relevant to all of society but is especially
important to business and management. This is because a motivated employee is more
productive and more productive employee is more profitable. Motivation is a force that pushes
people to work with high level of commitment. Psychologists have proposed different theories of
motivation. Some of motivational theories are described as underneath:
Maslow's Theory of Hierarchical Needs
This theory of motivation is propounded by Abraham Maslow where it has been described
that an individual will be motivated if their basic needs are fulfilled. People do not work for
security or money but they work to contribute or to use their skills. This has been demonstrated
with help of five steps which are as below:
 Physiological needs: These are the basic needs for survival and maintenance of human
life such as air, sleep, food, water, clothing, shelter and other necessities of life (Cook-
Deegan, Majumder and McGuire, 2019). In context of Jack Stores, their manager keeps
look over the basic needs of their employees including food and accommodation for those
who come from different area or state.
 Safety needs: Once the physiological needs are reasonably satisfied, then safety needs
become significant. These needs consist of physical safety against fire, accident, murder,
criminal assault or any danger. In context of Jack Stores, their managers provide proper
safety and security to their employees regarding the job in order to make employees feel
secured.
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 Social needs: These needs are related to social processes, relationships or belongingness.
Human being is a social being and wants love, affection, friendship and association with
social groups. In terms of Jack Stores, their manager managers consider social
recognition and social meet-ups to fulfil these needs.
 Self-esteem needs: These are the needs that is related to self-respect, self-confidence,
achievements, competence, independence or freedom and feeling of personal worth
(Rowlands, 2018). In terms of Jack Stores, their managers always make sure that their
employees are always confident and also provide great achievements to them.
 Self-actualisation needs: These needs are associated with the opportunity for
development, learning, status, power, prestige, recognition, awards etc. Self-actualization
is the highest-level need to which human being can aspire.
Therefore, a manager has to understand the need of a team members and help them to
satisfy their needs. This will help the members for better performance.
Benefit
Easy to understand: This theory is easy to understand as each person in their life has
gone through different stages of requirements (Dumrique and Castillo, 2018). It is the benefit for
Jack store as it will become easy for them to analyse the needs for their workforce and what
exactly they want. Motivated workforce performs their job role in an effective manner and with
proper dedication to get their work more praised.
Drawback
Every person thinks in different manner: The major drawback of this theory is that all
the individual needs do not think in the same way as all of them have different thoughts and
perspective. This factor is difficult to manage by the HR of Jack store as every employee has
different nature.
McClelland's theory of needs
Another motivational theory focuses on the higher-level needs which was introduced by
David McClelland who described people in terms of three needs – power, achievements and
affiliation. These are discussed as below:
 Need for power: The need for power is uttered as a feeling to influence others. In relation
to Maslow's hierarchy, power would fall somewhere between the needs for self-esteem
and self-actualization (Çelik, 2018). In context of Jack Stores, People with a need for
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power tend to show behaviours such as outspokenness, forcefulness, willingness to
engage in confrontation, and an inclination to stand by their original position.
 Need for achievements: The need for achievements would fall between self-esteem and
self-actualization. But according to McClelland “No matter how high a person’s need to
achieve may be, he cannot succeed if he has no opportunities, if the organisation keeps
him away from taking initiative, or does not reward him if he does.” In terms of Jack
Stores, to motivate an individual they should assign task that involve a moderate degree
of risk, delegate them enough authority and give them periodic, specific feedback on their
performance (Vimal and et. al., 2021).
 Need for affiliation: This need is for love, belonging and social acceptance. People with
a high need for relationships are motivated by being liked and accepted by others. They
intend to participate in social gatherings and avoid conflicts. The manager of Jack Stores
should facilitate their need satisfaction by spending more time with such individuals and
periodically bringing them together as a group. Thus, all individuals should possess a
combination of these needs.
Benefit
Significance of motivation: This theory focuses on motivation that comes from the
employees instead of focusing on the external factors. By opting this theory, the manager of Jack
stores can put emphasis on enhancing their working environment to keep their workforce
encouraged for the hard work that will help them to develop their future.
Focus on employee problem:
Drawback
Satisfaction is not measurable: It is a difficult task to make sure the overall satisfaction of
employee in the company. As the human mind cannot be calculated by any other machine
(Karlusch, Sachsenhofer and Reinsberger, 2018). As every individual has different level of needs
and satisfaction them for the basic needs and some individuals will not get satisfied by the
initiatives taken for the fulfilment of needs.
Conclusion
Therefore, it has been analysed that the motivation is the key factor to develop overall
productivity. To develop in the market, company needs to opt motivational theories to keep their
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employees motivated. Motivation is based on the several factors and companies need to put
emphasis on maintaining the healthy environment for employees.
TASK 4: REPORT
Introduction
It is critical for a company to concentrate on its financial activities and determine which source
of funding is most suited for investing in the introduction of any new product or service in an
existing market or a new market with the primary goal of expanding the company. Zylla Limited
is a corporation that owns and operates a fleet of ferries that transport clients, automobiles, and
deliveries across rivers. This company's performance is excellent, and they are currently planning
to expand their operations (Havrylchyk and Verdier, 2018). Finance for growth operations is a
key requirement for every organisation. As a result, Zylla Limited will need to find a suitable
source of funding. To reach their expansion aim, the company might use both short and long
term sources of capital. The following study discusses a variety of short- and long-term financing
options for the organisation, as well as recommended investment appraisal approaches.
Main Body
Short term and long-term sources of finance
Short-term financing is defined as funds that are used for a period of less than a year. A
corporation can obtain short-term financing from a variety of sources, some of which are listed
below:
 Commercial bank loans: When a loan is repaid in less than a year, it is referred to as a
short-term commercial bank loan. When businesses demand immediate funds, they
consider banking facilities because of their low interest rates. Some banks charge low
interest rates on their loans in order to encourage more customers to use their services.
 Commercial paper: It's a promissory note sold to other businesses in which the buyer of
the goods or services promises to pay the money within a year (Hall and Burns, 2018).
Commercial documents are typically available for two to six months. The cost of prime
commercial paper varies, but in general, the cost of commercial paper is modest.
Long-term sources of finance are ones that a business can use for more than a year.
There are a few long-term financing possibilities for a business that are listed below:
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 Special financial institution: The provincial and federal governments create this type of
institution with the goal of giving long-term financial assistance to various organisations.
These financial institutions assist businesses in expanding by offering long-term
financing services. As a result, by giving long-term loans to new enterprises, these types
of businesses contribute to a country's economic growth.
 Capital market: Companies buy debentures and shares on the stock exchange. In this
market, there are two distinct segments. The primary markets, where new shares are
issued, are the first. The stock market, often known as the stock exchange, is a secondary
market that consists of the buying and sale of existing securities (Khasawneh, 2021).
Companies and individuals buy shares and debentures in this market and sell them when
the value of their debentures increases after a few years.
Based on the above information, it is prudent for Zylla Limited to pursue long-term financial
sources through the utilisation of special financial institution facilities. This option will assist
Zylla Limited in obtaining low-interest loans from corporations. As a result, they will be able to
purchase new ferries to expand their operation.
Evaluation of various investment appraisal techniques and recommendations
 Payback period: This method will assist the company in determining how long time it
will take to earn enough profit to cover the project's original costs. It is a simple approach
of calculating and comprehending the method and cost of covering a project's initial
investment (Stathonikos and et. al., 2019). It is very simple to understand for those who
do not have a financial background. The temporal worth of money is ignored by this
strategy, which is its only drawback.
 NPV rule: The net present value rule states that a company's investors and managers
should only invest in the project. They evaluate the importance of each project and only
invest in those that will provide a positive net present value for them (Alghamdi and et.
al., 2020). To put it another way, it's the predicted compound yearly returns of investors
over the course of their investment.
Based on the foregoing, it can be concluded that there are numerous types of investment
assessment methodologies that a firm or individual can identify. In the case of Zylla Limited, it is
suggested that they adopt the Payback Period Method as an investment assessment approach
because it is one of the simplest methods for calculating the time required to cover the project's
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initial expenditure. In this scenario, if Zylla's Limited buys 50 ferries, they will figure out how
much money they need to make at what time to cover the cost.
Conclusion
Based on the above discussion, it can be argued that analysing a company's financial
requirements is critical because money is the most crucial aspect and source of managing a
business. Short-term financial sources are those that the firm uses for less than a year, while
long-term financial sources are those that the company uses for more than a year. Short-term
financial sources include commercial bank loans, commercial papers, and a variety of others.
Long-term financial sources include the stock market, special financial institutions, and a variety
of others. An organisation can employ a variety of investment appraisal techniques, including
payback period, NPV rule, and many others.
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REFERENCES
Books and Journals
Alghamdi, A and et. al., 2020. Online and face-to-face classroom multitasking and academic
performance: Moderated mediation with self-efficacy for self-regulated learning and
gender. Computers in Human Behavior, 102, pp.214-222.
Çelik, H.C., 2018. The effects of activity based learning on sixth grade students’ achievement
and attitudes towards mathematics activities. EURASIA Journal of Mathematics,
Science and Technology Education, 14(5), pp.1963-1977.
Cook-Deegan, R., Majumder, M.A. and McGuire, A.L., 2019. Introduction: sharing data in a
medical information commons. The Journal of Law, Medicine & Ethics, 47(1), pp.7-11.
Dumrique, D.O. and Castillo, J.G., 2018. Online gaming: Impact on the academic performance
and social behavior of the students in Polytechnic University of the Philippines
Laboratory High School. KnE Social Sciences, pp.1205-1210.
Hall, M.S. and Burns, M.K., 2018. Meta-analysis of targeted small-group reading
interventions. Journal of School Psychology, 66, pp.54-66.
Havrylchyk, O. and Verdier, M., 2018. The financial intermediation role of the P2P lending
platforms. Comparative Economic Studies, 60(1), pp.115-130.
Huang, I.Y and et. al., 2021. Food waste management: A review of retailers’ business practices
and their implications for sustainable value. Journal of Cleaner Production, 285,
p.125484.
Karlusch, A., Sachsenhofer, W. and Reinsberger, K., 2018. Educating for the development of
sustainable business models: Designing and delivering a course to foster
creativity. Journal of cleaner production, 179, pp.169-179.
Khasawneh, M.A.S., 2021. Cognitive Flexibility of Students with Learning Disabilities in
English Language and Its Relationship to Some Variables. Shanlax International
Journal of Education, 9(3), pp.49-56.
Rowlands, A.V., 2018. Moving forward with accelerometer-assessed physical activity: two
strategies to ensure meaningful, interpretable, and comparable measures. Pediatric
exercise science, 30(4), pp.450-456.
Stathonikos, N and et. al., 2019. Being fully digital: perspective of a Dutch academic pathology
laboratory. Histopathology, 75(5), pp.621-635.
Vimal, K.E.K and et. al., 2021. Application of multi grade fuzzy approach to compute the
circularity index of manufacturing organizations. Procedia CIRP, 98, pp.476-481.
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