Deutsche Brauerei

1) What accounts for Deutsche Brauerei’s rapid growth in recent years? Specifically, what policy choices account for this success?

2. What do you think are the motives of Harnischfeger's management in making the changes in its financial reporting policies? Do you think investors will see through these changes?

Deutche Brauerei is a family run German Beer Company. It is owned entirely by 16 uncles, aunts, and cousins from the Schweitzer family. The Schweitzers are brewers, not marketers or finance people, so they have hired Oleg Pinchuk to help with the marketing aspects and Greta Schweitzer, Lukas Schweitzer’s niece, to give financial expertise. The company’s agenda includes: approval of the 2001 financial budget, declaration of the quarterly dividend, and adoption of a compensation scheme for Oleg Pinchuk. Greta also wants to study the company’s reliance on debt financing and whether or not Deutsche’s aggressive penetration of the Ukraine helped the company.

1. When it is difficult to determine the effect of a salesperson’s effort son sales rather than pay any incentive through commission it is better to use a bonus with salary as part of the compensation package

Suggest key actions that management should take in order to confront these circumstances. Provide a rationale for your response. (Hint: Your firm’s price must cover average variable costs in the short run and average total costs in the long run to continue operations.)

This is the assessment of the historical and future performances of the two companies in order to fully project internal and external factors that will affect the forecasts. The purpose is to identify trends, year to year changes, in order to assess whether the two companies’ performance are stable or sporadic and highly volatile.

In the case of Assessing a Company’s Future Financial Health, the case concentration is on SciTronics, a medical device company, performance measures based on the organization’s three primary financial data sources in Exhibit 1 & 2. Utilizing the 9 steps of corporate financial system, I will be able to analyze the financial health of the company to assess whether it will remain balance over the ensuing 3-5 years. The measures are grouped by focusing on “Financial Ratios” such as: 1.) profitability measures, 2) activity measures, and 3) leverage and liquidity measures. Using the financial data sources, I would be able to make recommendations regarding SciTronics 126 million loan request.

This analysis contains references to years 2010 and 2009 for Dollar General Corporation, which represent fiscal years ended January 28, 2011 and January 29, 2010 respectively. The main issues which the company is concerned about are its ability to increase sales and profitability and reduce costs in the current economic situation; another issue is an ability to repay an extensive amount of long-term debt which increases its risks.

On the 2001 financial budget, Deutsche Brauerei calls for a EUR 7 million investment in plant and equipment to be built in the Ukraine. I believe this investment will not benefit Deutsche Brauerei for the reason that Ukraine distributors have defaulted on their payments since 1998. Deutsche Brauerei has relaxed their terms to 2% 10, net 80 and yet they have not been able to meet their due dates. Based on this I recommend Greta to: Tighten credit policy toward the Ukrainian distributors. Slow capital expansion towards Ukraine in order to collect outstanding receivables. Focus on isolated cities in the Ukraine that are meeting company standards (Kiev, Odessa)

A newly-appointed director of a small German beer brewer must prepare to vote on three issues coming before the board of directors the next day: (1) approval of the financial plan for 2001, (2) declaration of the quarterly dividend, and (3) adoption of an incentive compensation plan for the marketing manager. The student’s task is to evaluate the past and prospective financial performance of the company and to critique its liberal credit and inventory policies. The objectives of the case are to:

Analyzing the company’s performance compared to its historical figures is always useful; nevertheless, these historical figures can be also a very useful tool to forecast future ProForma figures. We usually start by forecasting future sales (based on an average increase in sales figure) and other balance sheet and income statement items are forecasted as percentage of sales, this percent is normally consistent from historically figures. A close look should be given to the company’s operations and plan for the coming year while making our assumptions and forecasted figures. Normally we should follow

Overall the long term solvency position of the company satisfactory and less risky, because managerial policies kept the repercussion of recession ( increase in interest rate) in mind and hence reduced its reliance on debt financing This gives it a secure position from the point of view of long term creditors.

Recently, Haniel went into a major restructuring process since the arrival of the new chief executive officer (CEO), Prof. Dr. Jűrgen Kluge. The CEO wishes to execute an

The company is not performing well when compared to rival companies, but the there is room for improvement. Foremost, the falling stock prices from $30.89 to $27.52 indicate that something is amiss. I believe the fact that we launched two new vehicles has led the stock prices to decline. In addition, unfavourable economic conditions that is causing high

In this week’s assignment, we have been asked to select a decision that that the CEO Martin Thomas is faced with in the Devise Products Unlimited (DPU) case study. First, we will discuss the selected issue faced by the DPU CEO. Next we will look at a decision-making approach and make recommendations to the DPU CEO how to apply it to the decision selected from the case study.