The Impact Of Globalization Business Essay

The Impact Of Globalization Business Essay Globalization: An Insight In recent years, swiftly escalating global competition, a sharp focus on quality, and an ever increasing zest and quest for higher productivity, led to new circumstances for a large number of organizations which are operating on a Global platform. Globalization (economic or otherwise) has lead to a total makeover of every phase of business. The scope of these effects ranges from manufacturing, to product development, vendor support, integration, upto logistics and even best manufacturing practices. Thus, globalization is a mixed bag of opportunities and challenges. Today, doing business at the global platforms is no longer a luxury. It is a necessity if businesses want to survive in the long run. About the Organization The organization chosen for this response is coded as VR Shoes Inc., a leading name worldwide in sports gear shoes. To protect the identity of the organisation, I have assigned it this name. I shall use the case at hand to demonstrate how, in a real life organisation, globalization affected the operations, code of conduct, strategy, trade union behavior, organizations outlook and response to corporate social responsibility (CSR) and other aspects of business. The approximate time span, for which I have discussed the case, is from mid 1980s to the end of 1990s. The Dangers of Globalization: Leveraging the advantages of global out-sourcing opportunities so as to produce optimally-costing sports gear and shoes, alongwith sound investments into newer designs and marketing campaigns, VR Shoes drove to severe criticism for outsourcing products to nations where low wages, bad labor conditions, human rights violations were rampant. These were challenges, which VR Shoes had not envisaged as part of their Go Global campaign. (Locke, R.,2002). Initially, VR Shoes top and middle level managers refused to accept responsibility on account of the multitude of labor and environmental concerns raised globally by adversaries, human rights groups, and environmentalists. By early 1992, VR Shoes devised a Code of Conduct, which mandated that the suppliers observed basic labor and environmental norms as per the law of the resident country where plants and facilities were located. New and existing suppliers, both, were warranted to adhere to this code. This is directly attributable to the ef fects of global business mandates, which VR Shoes had to fall in line with. The Impact of Globalization: The impact of globalization in businesses has been discussed under the following nine heads: Globalization Challenges to Product Design Globalization Newer Training Regimes for Staff Globalization Increased Monitoring of Suppliers Supply Chains Relationships with Global Not for Profit Organizations Globalization Globalization Trade Unionism Globalization Meeting of Consumer Expectations Multi-National and Multi-Cultural Managements in Globalised Businesses Economies of Scale Globalization Globalization Challenges to Product Design In the 1990s, design was also thrown up by globalization as it took a quick seize of the Asia-Europe-America axis. Asian corporations from Japan and Taiwan acknowledged very early on the importance of design for their intensive marketing efforts. Consequently, VR Shoes Inc. opened contact offices in Asia Europe, which functioned as probes in their respective markets. Globalization Newer Training Regimes for Staff As part of the changes mandated by globalization efforts, VR Shoes created newer functional departments like those for catering to the specific needs of training for the employees. This was a grey area in the sense that VR Shoes had never considered a need for the training of its employees. Globalization efforts made the organisation to think on such lines. Some of the newer departments were finally clubbed under Corporate Responsibility and Compliance Department. As of now, VR Shoes has 100 employees specifically dedicated to ensure the compliance of labor and environmental norms. These are located in all countries where VR Shoes products are being manufactured. However, but for the impact of globalization, business in VR Shoes would not have evolved to cater to such an important aspect. Globalization Increased Monitoring of Suppliers Supply Chains Another effect which globalization of production activities resulted in for VR Shoes is its heightened monitoring of its suppliers who are located around the globe. This is necessitated by stiff global competition from rival players in this field. With suppliers located around the globe, and competition not allowing for any lapse in quality, whatsoever, organizations are fast realizing the need to keep quality tabs. Inspection is carried out by VR Shoes own production staffs who are deputed for this purpose from any facility in the world map.VR Shoes own labor specialists and third party consultants like PriceWaterhouseCoopers (PWC) are also engaged in such activities. This level of serious and committed concern for quality is the offshoot of global competition and newer business ethics and norms. Relationships with Global Not for Profit Organizations Globalization Over and above developing internal skills, capacity, and expertise in standards and Corporate Social Responsibility (CSR), working on its vendors suppliers, VR Shoes has been active in supporting many different global Non-for-Profit organizations, which are directed at improving standards for employees in various under developed developing nations. For instance, VR Shoes is involved in the United Nations Global Compact, a program that seeks to promote CSR amongst international business organizations (Locke, R., 2002). Such relationships would never have been possible in localized business environments, which we had witnessed for centuries prior to the present day Globalization wave. Globalization Trade Unionism Trade unions are broadening their agenda items so as to include emerging issues like as engaging with international business giants organizations. This has made competition the absolute regulatory principle at the world business platforms. (Bieler, A, 2008). At VR Shoes also, in the ever on-going search for lower labor costs competitive business strategies, production has increasingly been restructured and organized on a trans-national platform across borders. Consequent to this, there is an increasing pressure to de-regulate labor markets. (Cohen, E., 2006) Globalization Meeting of Consumer Expectations Usually, consumers across the globe are better informed, have higher incomes and hence have more exacting requirements. This phenomenon compels business houses to strive and meet better product and service standards. This also happened with VR Shoes who had to continuously improvise and excel to meet the ever increasing quality and service needs of its customers. Multi-National and Multi-Cultural Managements in Globalised Businesses Another challenge faced by businesses and their managers is a multi-national business environment. A multi-cultural employment policy is needed to tackle employees from various countries, ethnicities, languages, religion culture. Their responses to reward, recognitions, motivational mechanisms etc. are very varied. In the case of VR Shoes Inc., the Japanese managers were disappointed with their Thai subordinates who didnt respond well to Japanese methods of building up corporate loyalty and motivation. But, as soon as they converted production targets into a game, the Thais excelled over Japanese peers! Economies of scale Globalization One of the advantages of globalization has been the fact that selling into a global market allows room for huge economies of scale. VR Shoes did successfully leverage this to beat rivals who were not truly global in operations. Challenges posed by Globalization to Data Management Information Exchange Many recent advances in mankinds ability to store, manage, process share information in digital forms has lead to a total reshaping of economies and social infrastructures of many countries around the world. (Information Technology and Globalization, 2006). Information is the emerging currency of global businesses. Moreover, its security is a worrisome challenge to global operations. Globalization is flattening the world. The threat to information while being stored or exchanged is getting real by the day. Already, China is testing U.S., U.K, and other national cyber-defenses. Economic systems may be distributed globally, operating in a variety of environments. (Olzak, T., 2008). There are specific threats to critical business secrets and databases. In the global business scenario, rival organizations seek to pry on their competitors and peers. Data security and management is thus fast turning into a business threat. However, Information technologies are the backbone of globalizatio n. Meeting the Challenges posed by Globalization to Data Management Information Exchange IT giants in global businesses are warranted by law that they must maintain and demonstrate compliance with a host of security standards, and guidelines. In the United States, the Federal Information Security Management Act of 2002 (FISMA) is the backbone. This act requires each federal agency to develop, document, and implement cost-effective programs to achieve information security on their systems (Olson, C., 2007). Some of the main postulates of the act are as under: Implement Repeatable Processes Based on Best Practices Provide a Comprehensive and Consistent View of the IT Ecosystem Implement Effective Change Management Automate Processes Facilitate Compliance Testing Globalization: Its benefits to the end user of VR Shoes In the particular case we discussed above, for VR Shoes Inc., the organisaton gained on many fronts and so did the society at large, as we discussed above. Nevertheless, I strongly feel that the winner at the end of the day is the End-User of the products being produced by VR Shoes Inc. Not only does the user get world-class products at local and highly competitive prices, but is also assured of good quality and is sure that the company follows safe manufacturing processes and does not use harmful chemicals. The competition ensures that users of the products of VR Shoes Inc. get fabulous after sales service from the leader in sports gear and shoes. In the stray event of a bad product reaching the customer, the global image of the manufacturer compels it to offer hassle free replacement of refund, whichever the customer demands. Not all this would have been possible in a regulated and closed business environment. It is a fruit of globalization, which is finally served to the customer. REFERENCES Bieler, A. Impact of Globalization on Labor and Trade Unions. http://openesf.net/projects/labour-and-globalization/ Cohen, E. (2006). Effects of Globalization on firms. Paris: Siemens Business Service Information Technology and Globalization. (2006). www.globalenvision.org/library Locke, R. (2002). Note on corporate citizenship in a global economy. Cambridge, MA: Industrial Performance Center, Massachusetts Institute of Technology. Olson, C. (2007). Meeting the Challenge of IT Security Compliance in the Federal Government: BMC Software. Olzak, T. (2008). The Information Security Risk of Globalization. http://it.toolbox.com/blogs/adventuresinsecurity/the-information-security-risk-of-globalization-24341

Black Women in Sports: Sexuality and Athleticism Essay -- Expository E

Black Women in Sports: Sexuality and Athleticism Men and women who chose to engage in sports from which they would traditionally be discouraged because of their gender, particularly as professionals, redefine the sport. The social and cultural "costs" are not the result of the individual's participation, but rather the way in which sports have been socially, politically, and economically constructed. Gender is only one of the few ways in which people are categorized according to their proficiency for some athletic activities. Race and class are also factors which may prevent individuals from engaging in sports that have been traditionally excluded to them. Socially constructed notions of race, class, and sexuality compound the way in which the history of sports has developed. For example, black women athletes may be more accepted in certain sports than in others, i.e. black women in the WNBA might seem as less an anomaly for black women than for white women, and yet the success of the Williams sisters in tennis may seem more out of the ordinary for many Americans than the success of their white counterparts. Race, class, sex, and sexuality are the operative notions in which certain sports are less "traditional" for certain groups. Black women have a long history with such sports and track and field. Tuskegee Institute (later Tuskegee State University) led the nation as powerhouses for the production of Olympic competitors from the fifties to the seventies. Despite the relative lack of funding received by these schools as compared to white schools in Jim Crow Alabama, their track and field programs flourished. Perhaps this is because track and field did not require expensive equipment to train and play. While white schools... ...more free to develop their game plans rather than their outfits before the match, but hopefully their sexuality will not be completely submerged by the game either. In an article entitled, "Absent Anna Has Sexy Impact," it was noted, "Serena Williams has no problems with Kournikova's beauty bringing a tennis boost even if the subject herself cannot take a title....The majority of the credit pretty much goes to the Williams sisters and Kournikova. Those three have really made the biggest difference in the amount of publicity, the amount of popularity in the sport." Hopefully, there will come a time in women's sports when all women will be recognized for their superior athleticism, and the unique sexuality of each individual female athlete will be appreciated for how it transforms, challenges, and redefines the social, political, and intellectual dimensions of sport.

Effects of Inflation Essay

Keeping Inflation under control is a primary concern for the Australian Government as it affects so many different parts of the Economy, including Economic growth, standard of living and unemployment. There are three types of inflation, depending on their causes. Firstly, demand pull inflation occurs when there is an excessive aggregate demand at or near full employment. If aggregate demand exceeds aggregate supply, prices of g’n’s rise as a rationing mechanism. This form of inflation is usually associated with periods of high economic activity. Secondly is cost-push inflation. If business costs such as the cost of wages or materials rise, businesses may aim to maintain profit levels by passing these costs onto consumers. This will result in higher prices and therefore inflation. The final type of inflation is imported inflation. Imported inflation occurs when the price of imports rises, and either adds to business costs (resulting in cost-push inflation) or feeds into the CPI as the price of final goods. Furthermore, a depreciation in the Au$ will raise import prices, also adding to imported inflation. There are a number of factors which may cause inflation in the Australian economy. A major cause of demand-pull inflation is excessive growth in aggregate demand. If aggregate demand increases from AD to AD1, aggregate supply which is the equivalent of real GDP will rise to GDP2 and the price level will rise from P to P2. This results in the inflationary gap of cd. This increase in aggregate demand may be the result of a number of factors, including increases in consumption expenditure, investment spending, net government expenditure, the money supply, or export incomes. Another major cause of inflation, this time cost-push inflation, is a decrease in aggregate supply. If aggregate supply decreases from AS to AS1, real GDP will decrease to GDP2 and the price level will rise to P1. This results in both a contraction in real GDP and a rise in inflation. The main causes of this decrease in aggregate supply is excessive wage growth not accompanied by productivity increase, a rise in the cost of raw materials, and other inputs, or a rise in government taxes or other charges that raise costs for firms. Cost-push inflation may also be the result of imported inflation it there is a rise in world prices of imported goods used in the production process (such as raw materials and intermediate goods) firms are likely to pass these costs onto consumers, resulting in inflation on the other hand if there is a rise in world prices of consumer goods, increased import prices will feed directly into the CPI, also resulting in inflation. Furthermore a depreciation in the Au$ in foreign exchange markets will result in a rise in the prices of imported raw materials, intermediate goods, and consumer goods, again contributing to Australia’s inflation. This is demonstrated in the stimulus when the RBA credits the decrease in inflation to the fading impact of 2000s exchange rate depreciation. A less common cause of inflation is the existence of monopolies or oligopolies. If a monopoly or oligopoly exists in an industry, the lack of competition allows producers to push up prices. This again results in inflation. The final cause of inflation in Australia is inflationary expectations. Inflationary expectations refer to the behaviour of individuals and businesses who seek to compensate for the current inflation, as well as expected future price rises. This may be the result of either firms pushing up prices, or wage earners seeking higher nominal wages. Also, if consumers expect future prices to rise, they rather buy g’n’s now, which leads to increases in spending. This results in demand-pull inflation. Inflation can impact the economy in 3 ways. 1)By encouraging investment in speculative and unproductive activities and discouraging investment in ventures considered productive. Inflation encourages investment in real assets such as gold and real estate because they are considered ‘good shelters’ for inflation. This is because the scarcity of them often outpaces or at least keeps pace with the rate of inflation. If inflation occurs, people will seek to own such assets, shifting resources to these speculative and unproductive assets. Similarly this discourages investment in other assets. This is because entrepreneurs will not think it is financially viable to invest and pursue a project that will only result in less profit, due to the higher costs of inflation. Similarly inflation increases the cost of production thus also discouraging entrepreneurs. For example, if inflation is high, people will invest in gold and real estate. Otherwise known as the opportunity cost, because people will allocate their resources into such ventures (gold and real estate) they must then forego investing into other ventures that are considered productive such as a new business, that may be producing capital goods or normal goods and services. Also by discouraging entrepreneurs is the rise in the costs of production that occur due to inflation, for example the raw materials. Similarly interest rates will rise, making it more expensive to borrow funds for investment purposes, making investment projects less profitable. Either way, inflation can cause a loss in production of capital goods, leading to lower living standards in the future, or a loss in the production of normal goods and services, leading to lowering current living conditions, as current needs and wants go unsatisfied. Since returns from productive capital take longer to materialise, it means that entrepreneurs are also faced with a lesser return. This means that if the rate of inflation is greater than the return offered by the investment, then the project will not be considered economically viable, nor worthwhile. Similarly the risk of loss from any investment project will grow with inflation. Many small businesses take a couple of years before they start to make a profit, so if inflation is high, and is was not taken into account when the business was first planned, then the cost of production may rise, and the resulting price for the commodity will be too high for consumers. ) If inflation is present and is greater than that overseas, it reduces the overseas competitiveness of the Australian economy. This is because inflation is not only associated with a rise in prices, but also an increase to the costs of production. Therefore making overseas exports cheaper to the domestic market. Similarly the overseas firms do not have to put up with the rises in the costs of production. This provides a leakage in the circular flow (p urchase of exports) and thus dampening demand in the domestic market, which if severe enough could lead to a recession, bringing with it many economic problems. An example of how inflation can lead to a recession, would be the 1970s, when high inflation averaged at 10. 4%. Which due to the high oil prices and strong domestic demand led to high inflation in the 1980s (8. 1%). This period of high inflation led to a dampening in spending and a recession in the 1990s (1990-1992) causing many problems such as unemployment. 3) It also creates many winners and losers in the economy. Those that benefit are the owners of real assets (real assets and gold), because their assets are worth more. As well as those belonging to well-organized groups who can demand wage increases (eg, strong trade unions. ) This can lead to rapidly rising wages, increasing the costs of production, and also discouraging investment in productive capital as mentioned above. In addition to this inflation can benefit people who have already borrowed funds because the cost of repayment, represent less as inflation rises. This is because inflation is defined by a loss in the real value of money, therefore the repayment will diminish over time. Conversely inflation disadvantages those on fixed incomes because they lose the real value of income as their money represents less purchasing power. Similarly for the same reasons it disadvantages those that keep their money in liquid form (ie, bank deposits). Also those that lend money receive less back in terms of repayment, due to the loss in value (eg, A mortgage repayment in 1960 was worth more than in 1980, where high inflation had occurred). Also since it reduces international competitiveness, inflation can disadvantage exporters who find themselves with less business opportunities. This can effect the economy, as overseas markets will not purchase Australian goods and services. Therefore the economy will not receive the injection into the circular flow that it would usually, without inflation. Without the strong domestic support that is present in Australia’s economy, the economy could have the effect of dampening economic activity, and aggregate demand. When inflation occurs in the Australian economy it usually had a number of causes. The main causes are excess aggregate demand, cost-push inflation, inflationary expectations and imported inflation. inflation disadvantages many groups in the economy, who in turn benefit other groups. This is because inflation can influence the allocation of resources in regards to encouraging and discouraging investment, the overseas competitiveness of the Australian market, as well as effecting individuals and firms, who often benefit at the expense of others.

Butler Lumber - 1410 Words

Statement of firm’s position Butler Lumber Company is looking for more cash due to a fast-paced lumber market and a shortage of funding. Their regular bank, Suburban National Bank, is not willing to expand their exiting loan to an amount greater than $250,000 without securing the loan with real property. Another loan is being offered by a second bank, Northrup National Bank, for $465,000, with the understanding that the previous loan would be rolled into the second. The interest on the new loan would be prime + 2%. The co-founder, Mark Butler, owes a major note to the other original partner, who Mark bought out. He has a mortgage on his 12-year-old house and no other significant investments. Mark’s personal references indicate that†¦show more content†¦Finally, based on financial projections, Butler would have an additional $33,000 available to begin paying down this debt by the end of 1991. As the Banker, would you approve his loan, and under what conditio ns? Yes, we feel that the cash shortage is a short term problem and that the underlying business is sound and his references and credit history are favorable. However, there are several areas of concern that should be monitored as a condition of the loan. First, the Days Sales A/R ratio is trending in the wrong direction, and more effort needs to be spent on collecting receivables in a timely manner. Additionally, the Inventory Turnover is decreasing, tying up too much cash, and exacerbating the shortage of working capital. More effort needs to be spent on inventory management, making sure there is not a growing amount of stagnant inventory, and that the mix is correct for the intended market. In addition to the conditions stipulated in the text, the bank should put require that these two ratios (Days Sales A/R and Inventory Turnover) return to their 1988 levels, and that Mark Butler’s compensation be tied to these objectives. Exhibit 1 is the Projected Income Statement for Butler Lumber Co. Beginning inventory was pulled from the previous year’s ending inventory. Purchases were projected from a trend of 75.5% of sales for the previous 3 years. The total cost of goods sold assumed the previous 3-year average of 72% of sales would continue.Show MoreRelatedButler Lumber1443 Words   |  6 PagesButler Lumber Case Study I. Statement of Financial Problem Butler Lumber Company, a growing profitable business has exhausted its credit limit and the key issues facing it are: 1. Need for additional funds to continue the growth 2. Need to consolidate debt 3. Need to improve cash flexibility. In this case study I  will be discussing following problem: Why has Butler Lumber been profitable in the increasing volume of sales but at the same time it is experiencing cash difficultiesRead MoreButler Lumber1910 Words   |  8 PagesButler Lumber After thorough review and analysis of Butler Lumber’s financial reports, I believe that it is in the best interest of Northrup National Bank to not only approve the requested $465,000 loan, but look to increase the loan amount. A review of the 5 C’s will show in more detail the decision to approve this loan: 1. Capacity/Cash Flow: Butler runs a lean operation that has allowed them to have success due to competitive pricing. They have met their financing needs by increasingRead MoreButler Lumber Case1404 Words   |  6 PagesButler Lumber Company Case â€Æ' Butler Lumber Company Case Summary of facts: In 1981 by Mark Butler and his brother-in-law Henry Stark founded the Butler Lumber Company. In 1988 Mr. Butler bought Mr. Stark’s share for $105,000 to be paid of in 1989 out of which $70,000 was raised by a loan carrying an interest rate of 11% and repayable at the rate of $7,000 over the next 10 years. Over the past five years, Butler Lumber Company has experienced rapid growth in its business. It derives its businessRead MoreButler Lumber Company1414 Words   |  6 PagesBUTLER LUMBER COMPANY éâ€"Å"æâ€" ¼Butler Lumber Company(ä » ¥Ã¤ ¸â€¹Ã§ ° ¡Ã§ ¨ ±BLC)的借è ² ¸Ã¦ ¡Ë†Ã¯ ¼Å'我們é  ¸Ã¦â€œâ€¡Ã§ «â„¢Ã¥Å" ¨Northrop National Bank(ä » ¥Ã¤ ¸â€¹Ã§ ° ¡Ã§ ¨ ±NNB)çš„è §â€™Ã¥ º ¦Ã¤ ¾â€ Ã§Å"‹æ˜ ¯Ã¥  ¦Ã¨ © ²Ã¦  Ã¤ ¾â€ºÃ¥â‚¬Å¸Ã¨ ² ¸Ã¯ ¼Å'å… ±Ã¨â‚¬Æ'æ… ®Ã¤ ¸â€°Ã¥â‚¬â€¹Ã©Æ' ¨Ã¤ » ½Ã¯ ¼Å¡1)BLCçš„å ¾ µÃ¤ ¿ ¡Ã§ ¨â€¹Ã¥ º ¦Ã¯ ¼Å'2)BLCçš„è ² ¡Ã¥â€¹â„¢Ã¥   ±Ã¨ ¡ ¨Ã§â€¹â‚¬Ã¦ ³ Ã¯ ¼Å'3)BLCçš„æ“”ä ¿ Ã¥â€œ Ã¥â€œ Ã¨ ³ ªÃ£â‚¬â€šÃ¤ » ¥Ã¤ ¸â€¹Ã¥ °â€¡Ã©â€¡ Ã¥ ° Ã©â‚¬â„¢Ã¤ ¸â€°Ã¦â€" ¹Ã©  ¢Ã¤ ¾â€ Ã¦Å½ ¢Ã¨ ¨Å½Ã¯ ¼Å¡ ä ¸â‚¬Ã£â‚¬ BLCçš„å ¾ µÃ¤ ¿ ¡Ã§ ¨â€¹Ã¥ º ¦ Ã¥Å" ¨Ã¨ ©â€¢Ã¤ ¼ °Ã¥â‚¬Å¸Ã¨ ² ¸Ã¦ ¡Ë†Ã¦â„¢â€šÃ¯ ¼Å'NNBÃ¥ â€˜Ã¥ ¹ ¾Ã¥ ® ¶BLCçš„å ¾â‚¬Ã¤ ¾â€ Ã¥ »  Ã¥â€¢â€ Ã§â„¢ ¼Ã¥â€¡ ½Ã¨ ª ¿Ã¦Å¸ ¥Ã¯ ¼Å'ä » ¥Ã¤ ½Å"Ã¥ ¾ µÃ¤ ¿ ¡Ã¤ ¹â€¹Ã§â€ ¨Ã£â‚¬â€šÃ¥â€ºÅ¾Ã¥â€¡ ½Ã¥ »  Ã¥â€¢â€ Ã§Å¡â€ Ã¥ ° Ã§ ¶â€œÃ§â€¡Å¸Ã¨â‚¬â€¦Ã¦Å"‰ä ¿ ¡Ã¥ ¿Æ'ï ¼Å'ä » ¥Ã¥ Å Ã¥ ° BLCæÅ" ¬Ã¨ º «Ã§Å¡â€žÃ§â€¡Å¸Ã© â€¹Ã¦Æ'…æ ³ Ã¦Å"‰è‘â€"æ ­ £Ã©  ¢Ã§Å¡â€žÃ§Å"‹æ ³â€¢Ã£â‚¬â€š æŽ ¥Ã¤ ¸â€¹Ã¤ ¾â€ NNBéÅ"ۏ ¦ Ã¨ ©â€¢Ã¤ ¼ °BLCçš„è ² ¡Ã¥â€¹â„¢Ã¥   ±Ã¨ ¡ ¨Ã¯ ¼Å'ä » ¥Ã¤ ºâ€ Ã¨ § £Ã¥ ¯ ¦Ã©Å¡â€ºÃ§Å¡â€žÃ§â€¡Å¸Ã© â€¹Ã¦Æ'…æ ³ Ã£â‚¬â€š ä ºÅ'〠BLCçš„è ² ¡Ã¥â€¹â„¢Ã¥   ±Ã¨ ¡ ¨Ã§â€¹â‚¬Ã¦ ³  BLC 1988 1989 1990 è ²  Ã¥â€š µÃ¦ ¯â€Ã§Å½â€¡ 54.55% 58.70% 62.70% æ µ Ã¥â€¹â€¢Ã¦ ¯â€Ã§Å½â€¡ 180.00% 158.93% 145.05% 速動æ ¯â€Ã§Å½â€¡ 88.08% 72.00% 66.92% ç  ¾Ã©â€¡â€˜Ã¥ ° Ã¦ µ Ã¥â€¹â€¢Ã¨ ²  Ã¥â€š µÃ¦ ¯â€Ã§Å½â€¡ 22.31% 12.80% 7.66% Ã¥ ­ËœÃ¨ ² ¨Ã©â‚¬ ±Ã¨ ½â€°Ã¥ ¤ ©Ã¦â€¢ ¸ 71.755 69.631 應æ” ¶Ã¥ ¸ ³Ã¦ ¬ ¾Ã©â‚¬ ±Ã¨ ½â€°Ã¥ ¤ ©Ã¦â€¢ ¸Read MoreButler Lumber Case952 Words   |  4 PagesBUTLER LUMBER CASE REPORT The Butler Lumber company is facing cash difficulties due to the buyout of Henry Stark’s share and because it is operating a high growth rate. Thus, it is imperative to analyze the various options available to Mark Butler in order to meet the cash needs of the Butler Lumber Company. In order to support the reasoning for our recommendation, we constructed a ratio analysis (Appendix I; Exhibit 1). Even though the firm has realized increasing sales and decreased its operatingRead MoreCase Study Butler Lumber3374 Words   |  14 PagesCase Study: Capital Budgeting Butler Lumber Company Abstract Butler Lumber Company, a lumber retailer with a rapid growth rate, is faced with the problem of cash flow shortage. In order to support this profitable business, BLC needs a great amount of cash. The loan of $250,000 from Suburban National and a line of credit of up to $465,000 from Northrop National Bank are the two choices provided. After a brief review of the operation and financial conditions of BLC, we first make analysis ofRead MoreButler Lumber Company Essay1280 Words   |  6 PagesButler Lumber Company Background: Butler Lumber Company was founded in 1981, in a large city in the Pacific Northwest. Typical products of the company included plywood, moldings, and sash and door products. After a rapid growth in its business during recent years, the company in the spring of 1991 anticipated a further substantial increase in sales. Despite good profits the company experienced a shortage in cash and found it necessary to increase its bank borrowings. Issues: †¢ Butler LumberRead MoreButler Lumber Company Case Study1644 Words   |  7 PagesButler Lumber Company Case Study Hoffmeister M-W 4:30 – 5:45 Group #3 Sam Rosenbaum Joel Valenti Meg Lee Stephanie Grob Butler Lumber Company Summary of Facts. Butler Lumber Company is a Pacific Northwest based lumber distributor that sells plywood, moldings, and sash and door products.   The sole owner of Butler Lumber is Mark Butler, accompanied by one administrative assistant and ten employees who focus on repairs and labor intensive work.   Because of Butler Lumber’s competitive pricingRead MoreButler Lumber Case Analysis1807 Words   |  8 PagesButler Lumber Case Analysis Question 1 Butler Lumber, a retailer of lumber products in the Pacific Northwest area, experienced a time of growth in the spring of 1991 (Harvard College, 2002, p.1). The company looked to take out a loan to grow business operations. The maximum loan offer from Suburban National Bank was $250,000 (Harvard College, 2002, p.1). This loan also required a pledge of property from company owner, Mr. Butler, to secure it. However, Northrop Bank would offer a loanRead MoreEssay about Butler Lumber Company1994 Words   |  8 Pages Group: Lucas Ghiglione - 260460555 Noah Lackstein - 260524490 Kayley Lankinen - 260534412 Elliot Leimer - 260447577 Noah Seltzer - 260532481 Subject: Butler Lumber Company Problem: The Butler Lumber Company does not have adequate cash on hand to manage their operations, and has become reliant on trade credit and sometimes late payment of accounts payable to manage their cashflow. With sales projected to increase by 25% to 35%, the company must decide whether to accept a larger line