StudentShare solutions
Triangle menu

Coporate finance - Essay Example

Nobody downloaded yet

Extract of sample
Coporate finance

2.1 Describe the business model and strategies of Tesco by taking on strategy and discuss with evidences cited from the case how it is consistent with corporate objective of maximizing shareholder wealth.
Tesco’s business model is for the company to what matters better together as it deliver its core purpose to customers. The core retail activities of insight, buy, move and sell are what the company tries to make better as supported by its strategies, among others, of building the Tesco Brand, Leveraging Group skill and scale, operating responsively, establishing multichannel offer for customers. The financial results measure the performance on how the company was able to accomplish its strategies and objective of wealth maximization.
The business model of Tesco includes those made from the perspective of strategic choices. The strategies being used in relation to its business model including that of operating responsibly which include maintaining its good profitability, efficiency management of its assets, acceptable liquidity, balanced gearing ratio and responsive investment ratios.
As to whether the strategies are consistent with the corporate objective of maximizing shareholder wealth, it could be said that there is good amount of evidence. The results of the company’s profitability, liquidity, good Solvency , and good investment ratios provide good pieces evidence of meeting the financial objectives of the and which are consistent with the objectives of maximizing wealth of shareholders.
Making good strategic judgements has a good way to determining the company’s prosperity and building value for its shareholders over the coming decade. Building shareholder value cannot be done in instant or in short-term. It is actually long-term as it may even be sacrificing in the short-run in order to attain the ...Show more


Section 1 will describe the business model and strategies of Tesco and find and connect evidences cited from the case, if any, and explain how they are consistent with corporate objective of maximizing shareholder wealth. Section 2 will…
Author : hamilllanden
Coporate finance essay example
Read Text Preview
Save Your Time for More Important Things
Let us write or edit the essay on your topic
"Coporate finance"
with a personal 20% discount.
Grab the best paper

Check these samples - they also fit your topic

This raised capital is consumed to finance mostly its long term business needs. For examples, with such finance, a company can buy a new factory plant, machinery or any other sort of investment that can generate future cash flows for the company. Certain corporate activities influence the share prices.
4 pages (1000 words) Essay
Finance Name Institution Table of Content Introduction 3 Main Body 4 Conclusion…8 References…9 Appendix…10 Introduction The performance of a company is essential towards its growth. There are various internal, as well as external factors that have a great influence on the success of a business (Albert, 2008).
5 pages (1250 words) Essay
GARCH effectively helps in analyzing this gap between risk and return and provides an in-depth analysis over asset pricing, portfolio optimization, option pricing and risk management (Christian Francq, 2011). GARCH model work on the assumption that randomness of the variance process fluctuates in accordance with the variance and not per its square root i.e (Chance & Brooks, 2009.
8 pages (2000 words) Essay
Coporate Governance and Business Ethics
Apart from quality food and grocery products, many stores offer delicatessen, meat and fish counters, complementary non-food products such as clothing and home ware, pharmacies, coffee shops, restaurants and petrol stations. The stores stock more than 23,000 food products including low price ranges, healthy eating options and local and regional products.
10 pages (2500 words) Essay
Another king of security which also form part of the capital structure is preference shares. When equity shares are purchased, the investors will become the shareholders/owners of the company. This source denotes the permanent capital for which the investors do not ask for any fixed rate of return.
14 pages (3500 words) Essay
Due to this systematic risk, the values of investments can be turned down and all this can occur because of financial transformation or other incidents that can affect the market to a great
10 pages (2500 words) Essay
International financial markets
Long-term debt may be raised through several ways, but the most common is through the sale or flotation of bonds. Equity capital, on the other hand, is in the form of stocks, of which there are at least
8 pages (2000 words) Essay
It is calculated as difference close price on the date of listing and offer price of issue expressed as percentage of offer price of issue. In the US market, the short
10 pages (2500 words) Essay
The two companies have poor current ratios and while this would be an indicator of inability to meet short-term obligations, it is less of a threat to a long-term investment approach. Current ratio is also just a comparison of current assets and
3 pages (750 words) Essay
Coporate finace
The axiom is that the market price is adjusted according to the required rate of return by individuals and investors in that share2. The method requires several inputs like current market price, growth rate
4 pages (1000 words) Essay
Hire a pro to write
a paper under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Your email
Comments (0)
Click to create a comment
Contact Us