BUSI 690
Individual Case Study Part 2 Instructions
Complete the case study started in Week 5 of ABC Corporation.
A formal, in-depth case study analysis requires you to utilize the entire strategic management process. Assume your group is a consulting team asked by the ABC Corporation to analyze its external/internal environment and make strategic recommendations. You must include exhibits to support your analysis and recommendations.
The case study must include these components:
· A total of 10–12 pages of text plus the exhibits
· Cover page (must include the company name, your group name, the date of submission, and a references page; the document must follow current APA guidelines)
· Matrices, which must be exhibits/attachments in the appendix and not part of the body of the analysis (The Strategy Club has excellent templates/examples for exhibits and matrices: http://strategyclub.com/free-student-template/)
Case study deliverables (text must follow this order with current APA level headings for each component):
Note: Items 2, 3, 4, 5, 8, and 9 are Part 1 of the Individual Case Study, reuse them in this section to complete the case study.
1. Executive Summary
2. Existing mission, objectives, and strategies – From Part 1
3. A new mission statement (include the number of the component in parenthesis before addressing that component) – From Part 1 Great mission statements address these 9 components:
· Customers: Who are the firm’s customers?
· Products or services: What are the firm’s major products or services?
· Markets: Geographically, where does the firm compete?
· Technology: Is the firm technologically current?
· Concern for survival, growth, and profitability: Is the firm committed to growth and financial soundness?
· Philosophy: What are the basic beliefs, values, aspirations, and ethical priorities of the firm?
· Self-concept: What is the firm’s distinctive competence or major competitive advantage?
· Concern for public image: Is the firm responsive to social, community, and environmental concerns?
· Concern for employees: Are employees a valuable asset of the firm?
4. Analysis of the firm’s existing business model - From Part 1
5. SWOT Analysis - From Part 1 (comes from researching the firm, industry, and competitors) It is important to know the difference between causes and effects in the SWOT analysis. Causes are important, not effects. Once the SWOT Analysis is created, each group needs to construct the SWOT Bivariate Strategy Matrix. Deliverables for this section include:
a. SWOT Analysis
b. Internal Factor Evaluation (IFE) Matrix
c. External Factor Evaluation (EFE) Matrix
d. SWOT Bivariate Strategy Matrix
6. BCG Matrix (follow the Strategy Club’s template, not the textbook’s format)
7. Competitive forces, Competitive Profile Matrix (CPM), and competitor’s ratios Deliverables for this section include:
a. Competitive forces analysis
b. CPM and analysis
c. Competitor’s ratios and analyis
8. Historical Financial Statements - From Part 1 (Income Statement (I/S), Balance Sheet (B/S) and Statement of Cash Flows) from the 3 most current years for the firm The financial statements must include changes (deltas) between years.
9. Ratios from the most current and available 3 years with deltas and analysis - From Part 1
10. Alternative strategies (giving advantages and alternatives for each)
11. Pro-Forma Financial Statements (I/S, B/S and Statement of Cash Flows) with deltas out 3 years and analysis Each year must have 2 columns: 1 with your strategy and 1 without your strategy.
a. Include Pro-Forma ratios for the first year out with deltas contrasting from the most current year’s ratios.
12. Net Present Value analysis of proposed strategy’s new cash flow and EPS/EBIT analysis NOTE: To construct the first cash flow (cf1) at the very minimum, the new revenue from your strategy(s) must be discounted back to the present value by calculating EBIT and that figure will be your cfn for each year. cf0 (initial cost of your strategy), cf1 (discounted cash flow first year), r (opportunity cost of capital, the rate of the next best alternative use of cash/debt/equity resources).
a.
13. Specific recommended strategy and long term objectives Explain why you chose the strategy, and discuss how much the strategy will cost to implement and how much new revenue your strategy will create. Include your action timetable agenda for accomplishing your strategy.
14. Proposed new business model
Place the results of the case study analysis in a single document and post it in the Submission Link for Module/Week 6.
Submit this assignment by 11:59 pm (ET) on Sunday of Module/Week 6.
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