Strength Assessment Company C Industry 43

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Shareholders
Tyler Armstrong - Business Admin (Marketing) Dec. 2010
Cameron Hendricks - Business Admin (Finance) May 2011
Matthew Purdy - Business Admin (Finance), International Studies (Europe)
Dec. 2010
Suppliers – High Power Threat

Demand for materials increasing; demand greater than supply

Not much differentiation among competitors; many sellers to
choose from
Buyers – Low Power Threat
Substitute Products – Low Power Threat

Customers unable to use products from another industry to
satisfy needs (ex: athletes)
Rivalry – Low Power Threat

Competitors are not determining prices and are a low
threatening rival
Threat of New Entrants – Low Power Threat

Industry is highly competitive; industry growth rate beginning
to slow down

North America - Year 17

Europe-Africa - Year 17

Asia-Pacific - Year 17

Latin America - Year 17
BSG
 Retailer Support
 S/Q Rating
 Production Efficiency
Footwear Industry
 Production Efficiency: What is Production Efficiency?
 Customer Loyalty: It’s a Community
 Innovation: GEO Footwear
KSF
Company Score
Industry Avg.
Strength Score
Retailer Support
450
414
5
4
5
4
0.507
0.559
4
S/Q Rating
Production
Efficiency (Cost of
Pairs Sold / Net
Revenues in Y16)
North American Segment – Year 16
25
20
15
Internet
10
Wholesale
5
0
Year 11 Year 12 Year 13 Year 14 Year 15 Year 16
20
18
16
14
12
Internet
10
8
Wholesale
6
4
2
0
Year 11 Year 12 Year 13 Year 14 Year 15 Year 16
30
25
20
Internet
15
Wholesale
10
5
0
Year 11 Year 12 Year 13 Year 14 Year 15 Year 16
30
25
20
Internet
15
Wholesale
10
5
0
Year 11 Year 12 Year 13 Year 14 Year 15 Year 16
EPS
Year 11
Year 12
Year 13
Year 14
Year 15
Year 16
Company
C
2.73
3.75
2.66
2.37
4.66
9.35
ROE
Year 11
Year 12
Year 13
Year 14
Year 15
Year 16
Company
C
17.0
19.2
11.3
9.1
15.4
24.4
Stock
Price
Year 11
Year 12
Year 13
Year 14
Year 15
Year 16
Company
C
35.74
48.78
27.51
23.57
59.64
173.59


To create and sustain competitive advantage with
relationship to customers, management should
focus on further improving S/Q rating by
increasing superior materials usage
To create and sustain competitive advantage with
relationship to shareholders, management
should focus on maintaining the market share (in
both internet and wholesale segments) that the
company captured in years 15 and 16
◦ The company should also consider increasing dividend
payments given their recent success



Holmes, S. (2006). Nike: It's Not a Shoe, It's a Community. Retrieved Oct. 18, 2010, from
Business Week, Washington, DC. Web site:
http://www.businessweek.com/magazine/content/06_30/b3994068.htm.
(2003). Production Efficiency. Retrieved Oct. 18, 2010, from Investopedia, Edmonton,
Canada. Web site: http://www.investopedia.com/terms/p/production_efficiency.asp.
Wilson, C. J. (2003). Geox - Footwear Innovation at Its Best. Retrieved Oct. 18, 2010,
from Ezine Articles. Web site: http://ezinearticles.com/?Geox---Footwear-Innovationat-Its-Best&id=4695807.
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