Summary The case study ‘Hermes Fund Management, Total and Premier Oil: the responsibility and accountability of business’ documents that in 2008, Hermes Equity Ownership Service (EOS) considers whether they should support Total, one of its clients, a giant French oil company operates a business in Burma/Myanmar and should they accept Total 's invitation to visit Burma/Myanmar. David Pitt Watson, founder of Hermes EOS has said: "Hermes ' philosophy is different from most founds. It seeks to create value for our clients in the companies in which it invests, not just trying to pick winners." Hermes aimed to be a responsible owner of the company and its decision needed to have a view about whether Total was acting properly. Hermes …show more content…
Premier 's share price had dramatically underperformed the market for several years due to no clear strategy, a restrictive capital structure and the involvement in Burma was not being managed. Especially, the military dictatorship controlled the business all the time. The second issue is whether Total will reverse their bad reputation by operating business in Burma. Total had never had a good reputation for Corporate Social Responsibility (CRS). Total was marked as a part of not taking CRS issues seriously. Even though it is been pleased by Total 's adoption of a more public commitment to social responsibility, how to ensure their implementation on it? The third issue is risk and profit in Burma. Since Burma is a military dictatorship system, the regular results of democratic elections are not accepted. Summary arrest, force labour and torture were widely reported. It will affect a company 's profit by doing business in a pariah company.
Recommendation In order for Hermes to respond Total 's operation in Burma without affecting the Total’s current market performance, the following recommendation is essential for Hermes: Based on the historical record, Hermes had successfully helped Premier out of the bad situation by set up an engagement of
Big Lots, INC. is currently a discount retailer in the US. Though, the company is not international, they are however, impacted by international political risks. Some of these risks include: loss of most favored nation trading status, political unrest, war, trade restrictions, more restrictive quotas, political instability, and increased import duties. Due to the fact that 24% of their merchandise is purchased from overseas vendors and a significant amount of the merchandise purchased domestically is manufactured abroad, their company can be greatly impacted. This could potentially affect their business and financial performance.
In this passage from Perseus he is on his way to kill the gorgon known as Medusa as a quest for Polydectes the king of the island where he and his mother are now living. Hermes visits Perseus and gives him another quest to complete before he can complete his original one. This quest Hermes has him take is to help him complete his original mission to kill Medusa, this shows that the gods can show compassion and direct heroes to complete their task at hand.
To ascertain which of the two companies to invest in it is very important to know the present financial position of the two companies. In this part of the essay I will be analyzing the financial statements of the two companies, which will help me ascertain their present position and also to a certain extent help me predict their future. For this I will be using certain financial tool like the ratio analysis, cash flow analysis etc.
[pic]s a senior in a professional services firm, you have been assigned to plan the financial statement audit of a private company named Toy Central Corporation (TCC). In addition, the partner on the engagement has asked you to identify business risks that could adversely affect TCC’s sustained profitability, so that they can be brought to the attention of the company’s board of directors. These tasks will require you to draw on your knowledge of supply chain management, marketing, internal controls, audit assertions, and financial accounting.
As the member of World Wealth Management our group has analysed and evaluated the published financial statement of Sports Direct and JD Sports Fashion.plc from year 2010 to 2012 for providing and investment guideline to Mr. Dave Jones. In our analysis we have utilized various types
Over my high school career I have interned at two finance-oriented companies. IN 2012, I started at Megastar Financial, a mortgage company located in downtown Denver. Here, I learned about the complex mortgage industry along while assisting in the accounting and underwriting departments. The company I currently intern for is Innovest Portfolio Solutions. Here, I work in the marketing department, however I have a variety of exposure to the different pieces of the company’s different departments and committees. As I have been exposed to the world of finance, I have grown fond of the discipline. Along with these internships I have been an apprentice of both geophysics and botany at the University of Wyoming. The apprenticeships were completed
In 2011, Myanmar has installed a new civilian government leading to a new development path. A number of economic reforms were introduced regarding the privatisation of
Burma, a country in South Asia, a region well-known by Gulkin, has many attractive qualities that could lead to a potential success for the company. Fist of all, Burma is the largest mainland country in the region, with the population of 47 million. This could entail more opportunities emerging for entrepreneurs both inside and outside of the country. The country had also bordered Gulkin’s established business
Morningstar Inc. makes investing easier for individuals by gathering all of the necessary information needed to make decisions regarding what types of investments would benefit the client as well as where to invest (O. Ferrell, Hirt, & L. Ferrell, 2009). Having access to all of this information provides the potential investor with the knowledge needed to make an investment decision without having to do all of the research themselves. Furthermore, Morningstar Inc. utilizes a rating system grading available investments from lower and more risky options to higher value choices which would have a potentially higher level of return.
The Pearson and Mahoney Investment Club (PMIC) is a group of friends and family who have a strong spirit to collaborate and invest together. This network includes and is open to all like-minded individuals from all aspects of life, with differing fields of expertise and skills to formulate a balanced investment group. Membership is invite only.
Hence, it could more than nullify any progress that the company claims to have made in terms of reduced losses, increased cash flows and margins and improved efficiencies. Petrobras now faces a Herculean task of turning around the company which has deep ethical issues that take years to get resolved and show any positive effect.
Every government is subject to political pressure and finding a consensus between political and financial aims is difficult. In practice, some choices may not further the company 's long-term development.
As Burma seeks to distance itself from China, despite Burma’s failed engagement on the energy front, India may very well be destined to be the major beneficiary. Burma has been grateful that India has focused on education, provision of technology and services, and infrastructure just as much as it has focused on energy (Maini, 2014). With all things considered, China virtually has monopoly over Burma’s offshore gas fields. Its economic and political engagement in Burma is greater than any other country in the world beyond comparison.
Moreover, since the late 1990s, Myanmar’s economy has worsened due to economic sanctions from many countries such as the European Union, Canada, and the U.S. Foreign investments usually come from China, Singapore, South Korea, and Thailand.
Case a) US Mutual Fund Performance Maastricht University | | | | School of Business & Economics | | | | Place & date: | Maastricht, 5th December 2013 | | | | Name, initials: | Müller-Wilmes, VEMCroughs, ZWFWang, WCGerdsen, BHARack, MD | | For assessor only | | ID number: | I6076025I6075042I6117368I6075829I6064576 | | 1. Content | | Study: | International Business Economics | | 2. Language structure | | Course code: | EBC | | 3.