As a manger of the manufacturing company,
I have decided to invest in the existing portfolio in the market to promote the
company. After viewing the financial crisis and falling demand the organization
has now been facing the financial down fall. For this purpose, the investment should
be made wit in the presenting portfolio. In the industrial framework, as well
as it has been mentioned that the industrial framework varies from country to
country and this will give a rationale along wit the model of six forcewhich
mainly enhance the profitability of company by having investment in the international
markets to gain the essential advantages with in market along wot unique
activities. As well as in this regard the company has to take some significant
steps by changing the number of players, by changing some of rues of
organization such as developed some latest pricing policies. Moreover, (Abrar & Javaid, 2016)the company should
also utilize the PARTS theory which has been based on lever. Despite from tis a
group of organizations will worked togetherto enhance the activities.
Furthermore, the company can also alter the perception and change in decision.
Despite from this the company can also changed their scope by changing their service
links and developing innovative alliances.
The idea of a manufacturing company as a
value chain which includes the analysis of the qualified appeal of alternative
business actionswhich is necessary in the procedure of developing productsor
services, whereasevery link adds a specific value within the chain.The imaginative
webphenomenonproposed the approach and applieswhich is required to stimulate
the revolutionprocedure between the companies which is distinctestablishments
but that work together within a value chain.current international trade and
investment contractswouldfundamentally be changing an industry within the country
which holds theinexpensive advantage. Trade and investment contractswhich has
been made together with an organizational structureof a value chain or a
creative web, which will facilitate the location of divisible actions in various
countries.
A. Investment in the existing portoflio
|
Steps to be taken into account
|
mln USD
|
Portfolio revision and revival
|
0,1
|
Market research
|
0,1
|
Promotionactivities
|
0,6
|
The expected cash flows from
the different options are as follows
|
End-of-year 1
|
End-of-year 2
|
End-of-year 3
|
End-of-year 4
|
End-of-year 5
|
Cash flow A
|
0
|
0,5
|
0,8
|
1,5
|
1,3
|
Cash flow B
|
0,7
|
0,5
|
0,6
|
0,6
|
0,7
|
Investment into existing portfolio
·
High vulnerability about
the future turnout the business is certainly in development organize
·
If the venture bombs
noticeable turndown in the piece of the overall industry
·
Lower similarity of
arriving at a fast improvement way
·
No opposition among the
inward partners of the organization
Abrar, A., & Javaid, A. (2016). The Impact of
capital structure on the profitability of Microfinance institutions. South
Asian Journal of Management, 21-37.