Swot Analysis Of Adidas Company

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ROLL NUMBER- 32 NAME: NITIN SAINI PRN: 16020441093 COMPANY:Adidas India Marketing Pvt Ltd TOPIC- Analyse the changes in the share capital and the reserve of the firm for last 5 years. Is company financially strong? Give reasons to support your answer. INTRODUCTION Adidas is one of the well-known trading company all over the world and needs no introduction. Adidas is been considered as the largest multinational company in Europe which deals with the trading of sportswear and footwear. Adidas- the name of the company was conceptualised by taking the surname of the 2 brothers that is the Dassler group but soon they had their conflict which made them split. Hence Adi Dassler took the initials of his name and surname and founded the company …show more content…

But the main source is share capital as since 5 years the company shows negative values in reserve total. Adidas has tried to always increase their horizon by working with different and eminent people to publicise their products. The company had major links with people like Stan Smith and Tracy McGrady. TERMINOLOGIES: Share Capital Share capital is the amount raised by the issue of shares by the company in the market. The total amount is divided into small fragments and each part is called as share. The one who holds certain number of shares in a company is called the shareholder. The person who holds the maximum number of shares is made as the chairmen of the group and is responsible for making the crucial decisions in a company. Types of Share Capital: 1) Authorized Capital – It is basically the maximum amount that a company can raise with issues of shares in the market. So the share capital can never be more than the authorized capital and this is also called as Registered Capital. 2) Subscribed Capital – It is the number of shares for which the public has shown interest in buying shares. In simple words if the company financial condition and history is good then more and more number of people show their interest in buying …show more content…

4) Called up Capital – The partial capital amount that a company will ask the shareholders to pay out of the total issued capital is called as called up capital. 5) Paid Up capital – Out of the total called up capital the amount of capital which the company has received is called as Paid up capital. Reserves It is the amount of money which is retained by a company, but are not distributed to the owners of the company. These are some of the profits/reserves that can be used for any future needs. Typically these retained earnings are used for different purpose like business expansion etc. Types of reserve • General Reserves: These are the reserves for which the purpose is not defined and can be used for any purpose. These are used whenever the need arises like building new plants, paying back loans etc. • Specific Reserves: These are well defined reserves and can be used only for those planned activities for which the reserves are

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