...Best Financial Services Inc. This report is consistent with our signed Academic Integrity Form on file with the instructor. Matt van den Boogaard Emily Bedwell Alla Fedorets Saghi Ahmadi David Merlo Miguel Veloz September 28, 2015 ENTR 3140 – S10 1 Critical Issues In order for Best Financial Services Inc. (BFSI) to attain a growth in revenue of 5%1 per year for 4 years and for Linda Best to maintain a healthy work-life balance (35 hours/week2 and retirement in 10 years) (Grasby and Dunn, 2009), the following issues need to be addressed: • • • How to diversify the aging target market to decrease the amount of lost revenue streams How to address the current maximum capacity of clients in the extremely competitive environments How to gain a competitive advantage by achieving a score that is equal to or greater than private firms (as measured in the competitive matrix, see Exhibit 1) in the global economic depression Analysis Over 50% of BFSI’s clients are aged 51 years old or older (Exhibit 2). This aging target market will be inclined to start withdrawing their investments throughout their retirement (Exhibit 3). This is a major threat for BFSI because the company heavily relies on this declining market and will be losing revenue streams. BFSI has a major issue in that 57% of their clients are not making breakeven revenues (Exhibit 14). In addition, the smallest client segment is making the company the most money. The financial industry...
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...threats or opportunities. Answer: Financial planning is one distinct segment among many within financial services industry. The aim of the financial planners is to assist people to maximize the potential of their financial assets. Financial planners evaluate a client’s goals, personal circumstances and risk tolerance to help them grow and preserve their wealth, minimize taxes , complete estate planning and determine insurance needs. The financial planning has a prescribed six step process for financial planning outlined by FPSC(Financial Planners Standard Council). The industry offers various products suited to different needs of the different customers. A variety of products like Mutual Funds, Guaranteed investment certificates(GIC) , Life Insurance and Retirement plans are popular. The Revenue is generated through commissions and trailers. Additional revenue stream could be generated through life insurance sales and income tax preparation. Approximately 50000-600000 individuals offered financial advice or sold financial products in Canada out of which only 17000 had a CFP Certification. The CFP(Certified Financial Planner) designation was monitored by the FPSC and assured a client of the credibility of the financial planner as the certification assured a client that the planner had a sound understanding of the business. The future growth prospects for the industry were positive as a US study revealed that employment of personal financial advisors was expected to grow by...
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...La industria de la que forma parte Best Financial Services (BFS) es la de servicios financieros, por lo general, este tipo de servicios están positivamente correlacionados con el desempeño de la economía local. En países desarrollados como lo es Canadá, estos servicios representan una parte importante de la economía, asimismo, suelen ser bastante estables en cuanto a crecimiento de ingresos. En estos mercados, la competencia suele ser fuerte y la diferenciación suele ser amplia. Específicamente, BFS se desenvuelve en el segmento de planeación y asesoría financiera, por lo que sus operaciones son por cuenta de terceros sin hacer un uso intensivo de su capital en actividades que le impliquen un alto riesgo de crédito o de mercado a su balance, dado que no tienen posiciones en el mercado por cuenta propia. Lo anterior, significa que la mayor parte de sus ingresos vienen de comisiones y tarifas pagadas por sus clientes por dichos servicios de planeación y asesoría. Dado que es un servicio donde se manejan los activos de terceros, la regulación canadiense lo monitorea de cerca y exige certificaciones para su desempeño. Para llevar a cabo esta actividad, el Asesor tiene que aprobar una serie de requisitos y exámenes de estándares nacionales que lo acrediten y certifiquen con los conocimientos y habilidades necesarias para manejar de manera ética, profesional y razonable los activos de terceros. El mercado meta para BFS se encuentra en Sarnia, ciudad que se encuentra en el suroeste...
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...order to grow Best Financial’s business steadily in the future and make it become a leader in the Sarnia market, it has to address the following: * How to increase the daily work efficiency in the office so that Best Financial can serve more clients than it currently does which is 600. * Which option Linda should choose so that the company will grow in a sustainable way. * How to maintain existing clients so that Best Financial’s existing client base (600) will be loyal and stable. * How to develop a new marketing plan so that it will be more cost-effective. (unnecessary marketing expenses will decrease by approximately $550 per year) Analysis: Due to Best Financial’s good work ethic and values, its sales level and client base had been growing steadily throughout the years. However, things have changed right now, the recent loss of the top client-Gerald Young was a wake-up call for both Linda and Best Financial. First, the competition in the financial services industry in Sarnia is high (Exhibit 2), especially because of the existence of those 4 big companies (Exhibit 3). Second, according to Sun life Financial’s annual report, its sales decreased by 12.8% in 2007. This might be a big signal that the overall market environment is facing a recession. Therefore, if Best Financial still wants to grow in the future, it has to take advantage of its strengths and try to improve or avoid its weaknesses (Exhibit 1). In last couple years, Best Financial was trying to...
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...Team 4 Best Financial Services Inc. Team 4 Critical Issues In order to retain valuable customers and capture a new customer segment for sustainability, Best Financial Services Inc. must address the following: How to identify a new segment of customers that can be developed for future years so that Best Financial Services can address an aging Sarnia population and differentiate itself against growing competition. Design a marketing plan which will target the chosen segment so that the values of this segment can be addressed. Analysis Industry and Competitive Analysis Best Financial Services Inc. (BFS) is currently positioned in a highly competitive market. BFS competes with both corporate competition (Exhibit 1 for Competitive Analysis) and private practices. Of the five variables listed in Exhibit 1, BFS only has control over the brand image, and service aspect of their business. Consumers in the market have high bargaining power due to low switching costs and many substitutes available. The long-term objectives of corporate competition are to target the general population as a whole, whereas the small competitors focus on niche needs and specific consumer markets. The financial services industry is largely based on reputation, relationship, and cooperation therefore relying on leveraging industry experience to strengthen BFS’s marketing strategy. Please refer to Exhibit 2 for Industry Analysis. Best Financial Service Inc. Client Segmentation Analysis According to the...
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...Apple Inc. Apple Inc. formerly Apple Computer, Inc., is an American multinational corporation headquartered in Cupertino, California that creates and retails consumer electronics, computer software, and personal computers. Apple’s mission and vision summarizes its committed efforts in bringing the best user experience to its customers through its advanced hardware, software, peripherals, and services along with a unique ability to design and develop its own operating system, hardware, application, software, and services, in order to provide its customers new products and solutions with superior case-of-use, seamless integration, an innovative design (“Apple Inc. Form 10-K Annual Report”, 1, 2012). Company’s mission and vision statements against the performance of the organization Apple’s mission and vision statements and objectives are neither interchangeable nor autonomous. Without objectives, the mission and vision statements are impractical. Without the mission and vision statement the objectives have no relevance. Both statements are too broad to be measurable, and the objectives are too definite to provide the big picture. When properly coordinated they strike a balance that helps to shape the business operations and service strategy. Apple Inc.'s mission statement is as follows - Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through innovative hardware, software and...
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...Simulation Summary I am a marketing manager for Thorr Motorcycles, Inc. As a five billion company it has been successful throughout the years pleasing an older range of customers. Thorr Motorcycles, Inc. not only offers customers to purchase motorcycles, but also a variety of items. This variety of items includes; t-shirts, hats, shoes, leather goods, and toys. I have been hired to create a marketing plan for the company and either reposition or create a new motorcycle. Through the process of this simulation I must choose parameters that are important to Thorr’s customers and are also fundamental to the business. I was given a budget of thirteen million dollars to implement my new plan. Through the use of a simulation I will come to a decision that best fits Thorr Motorcycles, Inc. and RRoth. When beginning the simulation a background of Thorr Motorcycles, Inc. was provided, but the first step in this process was to choose four parameters relevant to the motorcycle industry and has the highest potential. These four parameters are lifestyle image, quality engineering, service offerings, and price. Lifestyle image is important because customers are influenced to buy for the image rather that the functional features. Quality engineering is important because it allows Thorr Motorcycles, Inc. to maintain a high image because quality engineering includes aspects such as, product design, styling, and engine capacity. Service offering is important it ensures customer loyalty while keeping...
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...Thomas Gentry Thomas Money Service Inc. and FGI Finance Business Proposal Economics/561 Instructor William Kutza May 27, 2013 Business Proposal for Thomas Money Service Inc. The proposal recommendations to analyze the situation at Thomas Money Services Inc. and FGI Finance attributes and introduction a plan to improve existing goods and services. The recommendation suggests applications for increasing revenue, maximizing profits, achieving ideal production levels, determining fixed and variable costs, and identifying methods to reduce the costs. The business proposal will establish that it is in the best interest for both clients and consumers. The current economy has been declining which has driven Thomas Money Service Inc. to find other methods to stabilize their profits, reduce loss, and help to gain or maintain market share. Thomas Money Service Inc. has been hit by the slow economy and the decease in the homebuilding market. The business proposal model will help Thomas Money Services Inc. to put in place applications to increase revenue, profit maximization quantities and to establish a mix of pricing and non-price strategies with low marginal cost and revenue theories. These applications will offset the negative impact of the decease in the homebuilding market. The business proposal presents methods to overcoming barriers to entry in to the market, how to increase product differentiation, how to input applications that will show potential cost savings...
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...Strategy Maps Best Practice Strategy Maps Software Company Strategy Map Financial Perspective Leader in Strategic Markets Increased Shareholder Value Diversify Revenue Streams Predictable Profitability “Customer Intimacy” “eBusiness Solution Leadership” Flexible, Innovative Solutions One Stop Accountability Deliver Comprehensive Solutions “Operational Excellence” Consistently Meets Expectations Customer Perspective Lifelong Advisor Proactively Deliver Value Easy to do business with Internal Perspective Build Lifelong Relationships Capture and Leverage Knowledge Solutions Grow InterEnterprise Solutions Improve Resource Allocation WellManaged Leverage 3rd Party Relationships Provide Integrated Business Processes Effective Solution Processes Effective Cost Management MARKET SEGMENTATION MODEL Learning & Growth Perspective Relationship Management Skills Solution Management Skills Operational Management Skills Successful Career Planning Accountability Industry Expertise Knowledge Management Entrepreneurial/Innovative Leverage Solutions Identify, Attract, & Retain Skilled Employees 2 ©2010 Palladium Group, Inc. Healthcare Strategy Map “Maximize the Quality of Life and Dignity of Older Adults” Increase Shareholder Value Financial Create Cash Flow Grow Revenue Create EBITDAR Manage Expenses Customer Trust Choice Consistency Pay For Service “Customer Satisfaction...
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...and externals factors impact on compensation | Bus assignment # 1 | idiane1000 11/8/2009 | Contents Introduction 2 Internal factors affecting the best buy co Inc new compensation strategy 2 Best buy financial capital affect on compensation 2 Internal structure affect on compensation: 3 Employees’ acceptance of the new compensation 3 External factors affecting BEST BUY CO INC. compensation strategy 6 Economy factor on compensations: 6 Legal compliance on the compensation strategy: 6 Competitors impact on compensations strategy 6 Best buy summary 8 Conclusion 9 Figures: Median salary by job..…………………………………………………………………5 Median bonus by job…………………………………………………………………...6 Average weekly vacation by years experience…………………………………………6 Introduction With so many changes within the industry best buy the number one electronic retailer decided to implements new compensation strategy within their organization to gain competitive advantage against their competitors. An organization employing over 170,000 employees within the US will have hard time developing a compensation strategy for every employee. Therefore the organization decided to focus on its retail store managers. Data reveals that best buy Inc is employing little of two thousands retail store manager. The organizations is developing new compensation strategy so that they will be expose to fewer managers...
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...Auditing Introduction Letter To: Apollo Shoes, Inc. From: Lead Auditor Anderson, Olds, and Watershed (AOW) Date: March 30, 2015 Subject: Auditing and Other Assurance Services Available Dear Mr. Unum (Vice President of Finance), Last week you meet with Arnold Anderson, CPA (partner in charge of the audit), Darlene Wardlaws, CPA (engagement manager) and me Ashely Bishop (lead auditor) you discuss with us Apollo Shoes, Inc. decision in dismissing your current engagement with Smith & Smith auditing firm. At AOW we are glad you decided to bring us abroad. This letter will include information regarding the services that Anderson, Olds, and Watershed is able to provide to our clients as well as the professional standards that auditors must meet during audits. Also this letter will outline the ethical implications of an auditor during the audit. Auditing and Other Assurances Services Provided Arnold, Olds, and Watershed offers three different types of audits to our client’s operational, compliance, and financial statements audits. As stated in meeting last week ‘according to the Sarbanes-Oxley Act 2002, we will need to test the effectiveness of Apollo’s internal controls’ (Apollo Shoes Inc. case study). In order for our auditors to test effectiveness of the company’s internal controls will need to perform an operational audit. Operational audit evaluates the efficiency and effectiveness of any part of an organization’s operating procedures and models (Arens, Elder...
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...Strategy Maps Best Practice Strategy Maps Software Company Strategy Map Financial Perspective Leader in Strategic Markets Increased Shareholder Value Diversify Revenue Streams Predictable Profitability “Customer Intimacy” “eBusiness Solution Leadership” Flexible, Innovative Solutions One Stop Accountability Deliver Comprehensive Solutions “Operational Excellence” Consistently Meets Expectations Customer Perspective Lifelong Advisor Proactively Deliver Value Easy to do business with Internal Perspective Build Lifelong Relationships Capture and Leverage Knowledge Solutions Grow InterEnterprise Solutions Improve Resource Allocation WellManaged Leverage 3rd Party Relationships Provide Integrated Business Processes Effective Solution Processes Effective Cost Management MARKET SEGMENTATION MODEL Learning & Growth Perspective Relationship Management Skills Solution Management Skills Operational Management Skills Successful Career Planning Accountability Industry Expertise Knowledge Management Entrepreneurial/Innovative Leverage Solutions Identify, Attract, & Retain Skilled Employees 2 ©2010 Palladium Group, Inc. Healthcare Strategy Map “Maximize the Quality of Life and Dignity of Older Adults” Increase Shareholder Value Financial Create Cash Flow Grow Revenue Create EBITDAR Manage Expenses Customer Trust Choice Consistency Pay For Service “Customer Satisfaction...
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...Executive Summary XO Group Inc. is an internet based lifestage media company. XO Group has four flagship brands and each brand is specific to a particular market. The Knot and Wedding Channel are focused on the wedding industry. The Nest is dedicated to the home environment. The Bump is focused on family planning. XO Group provides services to couples who seek advice and information on planning lives together; from the wedding to their first baby and everything in between. XO Group’s professional staff ensures goals are being met and customers are satisfied. Throughout the company’s life, XO Group continually pursues new opportunities to stay ahead of their competitors and hold their place at the top of the lifestage media industry. Table of Contents Page No. | Executive Summary………………………………………………………………. | 3 | Table of Contents…………………………………………………………………. | 4 | List of Tables……………………………………………………………………... | 6 | List of Figures…………………………………………………………………….. | 7 | Section 1: History of Company………………………………………………….... | 8 | The Beginning…………………………………………………………………. Getting Bigger…………………………………………………………………. The Nest………………………………………………………………………... Merging Two Companies……………………………………………………… Stepping Into The Baby Market……………………………………………….. XO Group Inc.…………………………………………………………………. | 8...
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...elements-the population’s size, age structure, geographic distribution, ethnic mix, and distribution of income. The products that Macy’s Inc. offers to customers cover a wide range of ages starting from newborn babies to women and men of over the age of 65. Macy’s has over 800 operational department store and furniture galleries in 45 states in addition to operating a fully functional e-commerce website to give ease of access to all customers conveniently regardless of location. Macy’s Inc. also operates the Bloomingdale’s brand which has 40 stores in 12 states in addition to also operating a fully functional e-commerce website as well for the same purpose. Macy’s Inc. is a department store comprised of a variety of name brand goods of high quality that can be categorized in a variety of different categories that contribute to the wide selection of products Macy’s sells to generate sales revenue. Macy’s products target both men and women. Brands that Macy’s department stores carry include (but are not limited to) Jessica Simpson, Calvin Klein, Ralph Lauren, Tommy Hilfiger, Anne Klein, and many more. Macy’s Inc. is a diverse company and is an equal opportunity employer. It is not only diverse in its product selection, but also in its employees and customers in regards to the ethnic mix. Macy’s Inc. has a product selection with price ranges that are best suitable for individuals with middle to high income (with a reasonable, or fair to a very generous amount of extra spending money)...
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...companies. They are Northern States Power Company of Minnesota, Northern States Power Company of Wisconsin, Public Service Company of Colorado, Southwestern Public Service Company, and Xcel Energy Services Incorporated. Northern States Power Company of Minnesota is direct subsidiary of Xcel Energy Inc. It is an operating utility engaged in transmission, distribution, generation, and sale of electricity. This company is also engaged in the purchase, generation, and sale of natural gas to retail customers. Customers in this region include Minnesota and South Dakota and provide electric service to 1.4 million customers and gas utility to .5 million customers. Northern States Power Company of Wisconsin is also a direct subsidiary of Xcel Energy Inc. This operating company is engaged in transmission, distribution, generation, and the sale of electricity to more than 248,000 people in northwestern Wisconsin and a portion of the upper peninsula of Michigan. It provides natural gas to over 104,000 in that region. Public Service Company of Colorado is a direct subsidiary of Xcel Energy Inc. It is an operating utility and is engaged in transmission, distribution, generation and sale of electricity. It provides electricity to 1.4 million and natural gas to 1.3 million customers in Colorado. Southwestern Public Service Company is a direct subsidiary of Xcel Energy Inc. It is also an operating utility engaged in transmission, distribution, generation and sale of electricity....
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