HSBC – Lending Decisions and Sub Prime Crisis Problem: Let us look what us subprime loan, subprime does not mean “lower than prime.”. Subprime lenders charge rates that are higher than prime, the rate offered by the bank to its most creditworthy customers — sometimes the subprime rates are much higher. Subprime borrowers are generally people with poor credit record who may have a recently defaulted. The chief cause of the subprime mortgage crisis is the United States housing bubble burst after reaching its peak in the year 2006. The rate of defaults on adjustable-rate mortgages increased many fold leading to crises.
It also offers more marketing channels through which H&M can communicate with customers. 3.0 E-Marketing Strategy H&M has adopted the e-marketing strategy by using www.hm.com which helps its suppliers and customers to buy its products directly from them online. This also helps them to conduct its business to business (B2B) between H&M and their suppliers and also Business to Customer (B2C) between themselves and its customers across the world. H&M markets its products in different ways online these include web advertising, affiliates, social networks, search engine marketing, Google, emails, promotions using banners. 3.1 Types of e-Marketing strategy that H&M is planning to adopt 1.
Typical duties and responsibilities of a CFO According to Jiang et al. (515) the duties and responsibilities of a Chief Financial Officer (CFO) can be categorized into three: treasury, controllership and forecasting and strategy formulation. Regarding treasury, the CFO plays a formidable role in managing a firm’s financial condition. Therefore, he/she must be engaged in making decisions on how income should be invested by ensuring risk and liquidity are managed effectively. Additionally, the CFO is charged with the responsibility of ensuring that the capital structure of a company is optimized to maximize returns.
• Domestic markets moving towards saturation • Domestic market (US) accounts for a small percentage of world’s population. • Walmart perception was discount retailing is essential for the developing economies and hence they achieve the double digit growth rates Advantages • Leverage local buying power with US based MNC’s. • Utilize competencies of efficient store management, technology & logistics. When Walmart expanded its business in the Britain, Germany and South Korea the following issues they faced and they failed to mitigate some problems in Germany and South Korea experienced the losses and finally pulled out the business from respective countries. Risks • Operational issues such as transportation and distribution logistics, supply chain, information technology and human resources.
The paper will calculate the financial ratios of company that will be interpreted with the implications of ratios. Moreover, the paper will describe the indicators of fraudulent reporting. Discussion Purpose of Income Statement It is also called profit and loss statement or income or expense statement. The main purpose of income statement is to indicate managers and investors whether the organisation was cost-effective
Does the type of financing employed make a difference? If so, why? And, in some sense, can a certain mix of financing be thought of as best? In addition, dividend policy must be viewed as an integral part of the firm’s financing decision. The dividend-payout ratio determines the amount of earnings that can be retained in the firm.
The Indian Stock Market saw the biggest decrease in a day of 1600 points after 2008.A weaker Chinese currency will make imports from China an attractive deal in a wobbly World Market. India Should Be Worried With the rise in Dollar demand globally, including India, rupee has weakened as exchange rate is a function of demand and supply. With the yuan depreciating further the risk of Chinese goods being dumped in the Indian market at a price lower than the cost will increase, thus increasing imports. Our imports from China have jumped to $60 billion in 2014-15, while exports have plunged to $12 billion, thus creating a huge trade gap which will only tilt further with the devaluation of yuan. The fall in rupee reflects the negative impact on the Indian economy because of China.
1.1 INTRODUCTION TO FINANCIAL ANALYSIS Financial analysis converts raw information of financial statements in useful financial information. Only after financial analysis, we can use financial statements for decision making. This financial information is useful for planning, evaluating and making financial decisions. Further, financial analysis helps in assessing the past performance along with the current financial position, in order to make predictions about the future performance of the company. The process of evaluating business, projects, budget and other finance related entities to determine their suitability for investment.
Privatization is associated with higher levels of unemployment with its attendant social ills. Chakaodza (1993) states that while privatization may improve efficiency it will do so at the socio-economic and political cost of unemployment as well as depletion of needed foreign currency reserves. ESAP caused high unemployment rate because of its economic reforms. According to Sounders (2000) about 22,000 public service employees have been retrenched, alongside large cutbacks in real recurrent expenditure on services. In addition, the working conditions of the public sector was declining, Sounders (2000) added that, declining conditions of work and uncompetitive pay have chased many better-skilled