Session 7: Applying concepts to PFS case
Assignment
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Study
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Study questions for quiz prep & class discussion
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H&W Ch 5, Section 5.4 Business Strategies
PFS: Daisytek’s growth strategy case.
What is Daisytek’s corporate strategy?
What is PFS’ business strategy? Does it differ from
Daisytek’s core business strategy?
What functional strategies are key to Daisytek's
current or future success? Why?
Quiz on the PFS case based on assignment
questions is certain.
Quiz
What are Daisytek’s goals and
objectives?
Strategy
Goals
Current
Situation
Strategy
Environment
Objectives
Goals vs. objectives
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Goal—an open ended statement of a
desired end result
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e.g., Dell in 2006.
 Goal—improve customer service
Objective—a desired end result expressed
in measurable terms including a time limit
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e.g., Dell in early 2000s
 Objective—double revenue in 5 years
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A clearer statement would be:
Double annual revenue to $xx by 2006.”
Areas in which to consider having
goals and objectives
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Profitability
Efficiency
Growth
Shareholder wealth
Utilization of resources
Reputation
Contributions to employees
Contributions to society
Market leadership
Survival
Personal needs of top management
Ref. H&W p. 7
Let’s see if we can construct a
hierarchy of objectives for Daisytek
For Daisytek, what are the objectives
(or goals if we can’t determine an objective) for
each of the following?
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Corporation
Daisytek’s Core business
PFS business
Key functional strategies
Assignment for Session 8
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Prepare an analysis of Daisytek's financial performance or
condition using ratios listed in Table 11.1, pp. 167-169).
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Liquidity ratios:
Profitability ratios:
Activity ratios:
Leverage ratios:
Companies
Companies
Companies
Companies
1
3
5
1
&
&
&
&
2
4
6
2
Do both 1995 and 1996.
Only do ratios for which you have data in the case. No
need to seek data outside the case.
Hand in a printed copy of an Excel printout (including data,
calculations, and analysis conclusions) at the beginning of
class.
Bring a copy of your Excel file to class. Be prepared to
present your work
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Either bring a copy of your file on a USB drive, or
Follow the Electronic Submission Requirements and email the file
to the instructor at least 60 minutes before class
Discussion questions
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What is Daisytek’s corporate
strategy?
What is PFS’ business
strategy? Does it differ from
Daisytek’s core business strategy?
What functional strategies are key
to Daisytek's current or future
success? Why?