Essay on business analysis of the ROKU Company

Executive summary of business analysis of the ROKU Company

This report is related to the business analysis of the ROKU Company. In the first part of the report, there will be complete information on the information about the company. This company was founded in 2002, and it is also a private company. The overview of the company is described in a proper way.

Then after this in the next chapter, there is complete information about the latest condition of the company.  For explaining this, there is a need for internal and external analysis. Thus, firstly, there is comprehensive information on the SWOT analysis of the company. It can be noted that the main strength of the company is that they are providing different kinds of features related to digital media.

Then after this, their main weakness is their business model is not simple. The main problem is that this company is not able to produce a stable market price for their customers. The major plus point of this company is a number of opportunities for the future. The best opportunity is that the number of people is increasing day by day and also the demand of the customers. The major threat to this company is that the competition level is increasing day by day because the demand for the internet is increasing. After this, for the external analysis of the business report, there is a complete PESTLE analysis in which all factors will be discussed in detail.

Later on, in the business report, there is comprehensive information on the critical issues and its implication on the ROKU Company. In that part, there are some factors that are discussed in detail, like the rate of competition and pricing and also the TiVo problem for the major stock of the company. Then in the implication section, there is comprehensive information on the latest business opportunities for this company in detail.

Moreover, the next chapter of the report is related to the strategic direction of the company. In that part, the mission and vision statement will be discussed in detail. Their value statement will be explained in a proper way with a complete demonstration.

The next chapter of the report is extremely important. The reason is that it is related to the organizational structure of the company. It can be noted that in this company, there are about 7 senior vice presidents. Also, this company also contains a huge span of a management system that is involved in decentralized responsibilities. The next point is that this company also contain a functional organizational structure. The current organizational structure of the company is perfect and also reliable for the employees and also the other departments of this company.

The culture of the company is also good for its employees at ROKU. It can be seen that this organization is involved in recruiting the best and ideal people for the company, and the whole company consists of independent thinkers. This company is not requiring any kind of experience for critical thinking. In this section, there is also some information about the board of directors of the company. It can be noted that there are about 6 members of the company that are working with the CEO. There is also some board of directors that are consulted with other companies.

Then after this, there is comprehensive information about the CEO of the company. The name of ROKU’s CEO is Anthony Woods. In that part, there is complete information about how the CEO of the company was able to attain such a mark in the market and also some information related to his educational background in detail. There are detail and comprehensive information about the story of Mr. Woods.

The last chapter of the report is extremely important because it is completely based on the financial statements of the company. It can be noted that this company is struggling in financial performance. The main reason is that the salary of the CEO is extremely high then the other company’s CEO. In the last some years, it can be noted that they have shown some ideal growth in their assets that will easily minimize their debts. The value of the assets is gradually increasing year by year, and also the value of liabilities is decreasing after every year.

The major factor is that as the value of liabilities is decreasing for the ROKU Company, then there is also an increase in the stockholder’s equity. The best thing is that the value of equity is also gradually increasing for the company. This also shows that this company also doesn’t require any kind of financial debt to carry out the major tasks for the company.

In the given report, there are also some graphs and tables that are explaining the complete information about the earnings and revenue history of the company. The graphs that are showing information about the streaming hours of the company that are increasing after every year. The value of average revenue is also increasing after every year, but the main thing is that it is increasing quite slowly.

Furthermore, in the next section of the report, there is complete information about the key ratios of the company. There is also information about the earning per share of the company from the last three years. It can be noted that this value is quite low; more information about this value is explained in detail in the given section.

It can be noted that this company is completely debt-free so its cash and short term investment value is extremely high. Now in the last part of the chapter, there is a complete analysis of this company with its key competitors. This analysis will give information to the stakeholders on how they can easily invest in this company, or it will be profitable to invest or not. It can be noted that the Google Company is extremely better than the ROKU Company. There are some key values discussed in detail in the table form that will give complete information about how ROKU Company is falling behind from its key competitors.