...Key nonmarket issues - Whether to allow Staples and Office Depot to merge on the basis of antitrust concerns. Interests - The three office supply superstores, Consumers, Competitors like other Superstores (e.g. Walmart, etc.), Manufactures, Suppliers, Labor organizations. Institutions - Courts, FTC, DOJ, Congress. Information - Asymmetric (FTC has done a lot of research and know quiet a lot to support the antitrust case but Staples and Office depot will know more about the relevant product market, Pricing etc.), Incomplete (e.g. Whether it was possible to pass through the improvements in efficiencies to the consumers and if yes how much), Contested (Whether the definition of the relevant product market was right, etc.). Nonmarket issue lifecycle analysis - The issue was in the legislative stage. FTC had contested the merger of Staples and Office Depot on the basis of antitrust concerns and now the courts have issued a preliminary injunction. But instead of continuing with the trial the companies have decided to terminate the merger. Hence it can be said that issue is in the enforcement stage of the issue life cycle. Brief answers to the end of case questions - 1) What was the key finding by the court that effectively decided the case for a preliminary injunction? While making a decision the court required the FTC to show that its challenge was likely to succeed and in balancing the equities it was of greater harm to let the transaction proceed than to reverse it later...
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...Proposed Merger Between Staples and Office Depot Leads to Concerns of Higher Prices Michael Baye and Patrick Scholten prepared this case to serve as the basis for classroom discussion rather than to represent economic or legal fact. The case is a condensed and slightly modified version of the public copy of the FTC's motion for a temporary restraining order and preliminary injunction against the proposed merger between Staples and Office Depot dated April 10, 1997. No 1:97CV00701. OFFICE SUPPLY SUPERSTORE MARKET Staples and Office Depot pioneered the office superstore concept within months of each other in 1986. Over the next ten years, they and a number of other firms seized on the same strategy of providing a convenient, reliable and economical source of office supplies for small businesses and individuals with home offices. These firms competed aggressively, developing office superstores as a one-step destination, carrying a full line of consumable office supply items as well as assorted other products. Staples and Office Depot have been immensely successful: today, Staples has almost 500 stores and Office Depot has more than 500 stores nationwide; they compete head-to-head in 42 metropolitan areas across the country. On September 4, 1996, Staples and Office Depot entered into an agreement whereby Staples would acquire the stock and assets of Office Depot for $4 billion. The merged company would have combined annual sales that exceed $10 billion. Absent the merger, both...
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...Founded in 1985, Staples Inc. is the largest office supply store in the world, with over 2000 stores in 22 countries. It provides supplies, office machines, promotional products, and furniture, technology and business services both in stores and online in the retail industry. Targeting the two main types of customer, Staples Inc. uses B2C strategy for personal consumers and B2B strategy for organizational consumers. Within the office supply market, the three main competitors of Staples include Office Max, Lyreco, and Office Depot. Office Depot (ODP) is a merchandise and services company founded in March 1986. It generates revenues of over US $11.6 billion in fiscal year 2010 and has over 40,000 employees worldwide. It supplies business machines, computers and computer software, and office furniture. Office Depot also delivers business services encompassing of copying, printing, shipping, and computer setup and repair. Juxtaposed against Staples Inc., ODP is in a specialty retail industry targeting only one core category of customers―small business owners. We will start by comparing Staples Inc. and Office Depot Inc. in terms of their profitability and asset utilization using gross profit margin and total asset turnover. Staples had a gross profit margin of 0.267 in 2009 and a margin of 0.269 in 2010 whereas Office Depot had a margin of 0.280 and 0.291 in 2009 and 2010 respectively. Office Depot’s larger margin suggests Office Depot’s average margin between its selling price...
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...Case Study: Office Depot Leads in Green Hallie Lickteig Case Study: Office Depot Leads in Green Environmental Stewardship Office Depot was one of the first chain stores of its kind to offer transparency of their green goals. For the most part they have stood p to what they aimed, implementing drastic measures to both the way they do business and the products sold. They have met their first goal of giving preference to post-consumer waste products and accomplished their second goal of increasing the scope of recycled products by “launching their Green Book in 2003 and have increased the product categories and green attributes in the book every year since then” (Office Depot). They now offer thousands of products in the post-consumer waste heading as well as selling hundreds of green products from sustainable companies. “In 2009 they recycled 58% of our end-of-life materials in North America” (Office Depot), although numbers are still low an increase of the companies recycling program from 2004 meets their third goal. However, Office Depot still aims to grow programs by changing their procedures such as “implementing a new ‘smallest box’ as well as three 100% recycled and 100% recyclable envelopes for shipping small orders.” (Office Depot) Office Depot has also done well in changing who they do business with meeting their fifth goal of giving preference to products from certified sources and their sixth goal of giving preference to products from companies seeking initiatives...
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...Office Depot Student’s Name University’s Name Date Office Depot Mission and Vision Part 1: Office Depot Mission There is no clear mission statement as they have intertwined their mission statement with its corporate values. This gives the Office Depot employees a larger picture of their vision and specific guidelines regarding how Office Depot business is conducted. According to the website of Office Depot, the Office Depot mission statement includes its corporate values of respect for the individual, excellence in communication and fanatical customer service (Making Fortune, n.d.). Office Depot Vision Statement “Delivering Winning Solutions That Inspire Worklife” (Making Fortune, n.d.). Challenges for Revitalization In the last decade where the office supplies business has been affected by recession and competition from the online retailers. During this period, the organization has seen their share price fall to $1 and continuous decrease in the size of their market share. Due to the continuously decreasing size of the retail market, Office Depot merged with Office Max in 2013 and finally in 2015, Office Depot has merged with the market leader Staples. The biggest challenge of this period of industry wide transformation has been Office Depot merging with its competitors to ensure survival. In 2013, the merger between Office Depot and their rival OfficeMax formed a $17 billion market share with above 2,200 stores. This has helped in forming a bigger No. 2...
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...Staples Equity Valuation and Analysis David Lecky Chad Loudermilk Bennett Matkins Kara Reynolds Amanda Rhodes David.Lecky@ttu.edu Chad.loudermilk@ttu.edu Bennett.Matkins@ttu.edu Karereyddd@yahoo.com Amanda.b.Rhodes@ttu.edu Table of Contents Executive Summary……………………………………………………….. 2 Overview of Staples and the Industry………………………………... 7 Five Forces Model……………………………………………………………………….. 9 Rivalry among Existing Firms……………………………………………………….. 9 Threat of New Entrants……………………………………………………………….. 15 Threat of Substitute Products………………………………………………………. 17 Bargaining Power of Buyers………………………………………………………... 17 Bargaining Power of Suppliers…………………………………………………..... 18 Classifying the Industry………………………………………………………………. 18 Key Success Factors……………………………………………………………………. 19 Competitive Advantage Analysis………………………………………………….. 19 Accounting Analysis………………………………………………………. 25 Key Accounting Policies………………………………………………………………. 25 Accounting Flexibility………………………………………………………………….. 26 Evaluation of Actual Accounting Strategy……………………………………… 29 Quality of Disclosure…………………………………………………………………… 30 Screening Ratio Analysis….…………………………………………………………. 33 Revenue Diagnostics………………………………………………………………….. 34 Expense Diagnostics…………………………………………………………………… 37 Potential “Red Flags”………………………………………………………………….. 39 Undo Accounting Distortions……………………………………………………….. 41 Ratio Analysis………………………………………………………………. 44 Liquidity Ratio……………………………………………………………………………. 44 Profitability Ratio……………………………………………………………………….. 56 Capital Structure...
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... | Table of Contents 1. Brief History of British Airways 3 The decision making process 4 British Airways uses the following information tools at its strategic level. 4 Executive Support System (ESS) 5 Senior management in BA use the following information tools. 6 Transaction Processing Systems (TPS) 7 Roles for Management Information Systems in British Airways 8 References: 9 Entity Relationship Diagram (ERD) 10 The Entities: 11 Entities and Attributes: 11 Entities and Attributes 2 12 First cut ERD Diagram for ELRSC. 13 Normalisation Diagram 14 Requirement Specification for the E L R C System 16 Use case Description for ELRSC 18 Screen shot of use case For ELRSC. 34 Screen Shot Turnitin Report 35 1. Brief History of British Airways The purpose of this project is explore how information systems helps organisations to make decisions at different levels to achieve set objectives and...
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... Abuzar sabir 094432057 Adnan Mukthar 094432004 Mujtaba Haider 094432064 Date : 10-06-2011 Knorr Chicken Noodles Tables of Contents 1. Acknowledgement ……………………………………………………….…..… 04 2. Executive summary ………………………………………………………... 05 3. Introduction of company ………………………………………….……….….. 06 4. Analysis of end to end supply chain………………………………………….. 07 4.1. Generalized supply chain model…………………………………... 07 4.1.1. Suppliers network………………………………………… 07 4.1.2. Customers network……………………………………… 10 4.1.3. Flow chart of generalized supply chain model……………… 11 5. Upstream and downstream activities………………………………… 12 5.1. Supply chain flow……………………………………… 12 5.1.1. Material flow…………………………………………… 12 5.1.2. Flow chart of material flow……………………………… 13 5.1.3. Information flow………………………………………… 14 5.1.4. Flow chart of material flow……………………………… 15 5.1.5. Cash flow……………………………………………… 16 5.1.6. Flow chart of cash flow……………………………… 17 6. Supply chain process map………………………………………………… 18 6.1. Process activity mapping…………………………………...
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...Powers and Duties of Officers and Employees The procedure followed in the decision making process, including channels of supervision and accountability, the norms set for discharge of functions and the rules and regulations held under the control of the organization and used by its employees are detailed below. Shri Raji Philip Chairman-cum-Managing Director The Chairman and Managing Director is the Chief Executive of the Corporation and is responsible to the Board of Directors. He is responsible for all the activities of the Corporation including personnel, financial and commercial management, and corporate planning and project implementation. He is responsible for the effectiveness of the organization in the pursuit of the Company’s goals and objectives and in particular for the performance and supervision of the technical, administrative and day-to-day operations of the Company. The powers exercised by CMD are as per “Delegation of Powers” of CMD in vogue from time to time. Shri A K Bhatia Director (Operations) Director (Operations) is a member of Board of Directors and reports to Chairman and Managing Director. He assists the CMD in all technical matters, in procurement of providing support to the mills for efficient operations, forestry raw material and other major inputs, setting technical parameters and monitoring the operations against the set norms, closely inter-acting with the Chief Executives of the mills on all technical matters including innovation...
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...have been enable by information technology are: 1. Flat organization structure 2. Virtual organization structure 3. Reengineering With flat organization structure, levels of management are reduced and employees gain authority and responsibility to make decisions. Information systems give employees this possibility because IS give them access to information needed to help them in the process of making decisions. Virtual organizational structure is possible due to IS and allows individuals that are part of an organization but are geographically dispersed to work for example at the same project and share information. Also a virtual organization structure reduces costs for organizations (for example reduces costs associated with head office) and ultimately increases profitability. Reengineering is also a trend that organizations adopt in order to stay competitive and to gain competitive advantage. Reengineering means radical design of business processes, organizational structure, information systems and values of the organizations. This process in expensive and requires lot of time but the result can be increase in profitability through streamlining of operations. After implementation of information system businesses organize themselves to improve profitability by providing training and support to employees. By doing so employees will be able to attempt to use the new system at its fully potential. Question 1c): In order to optimize its information management system...
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...1 Management Information Systems - for WallGray’s pharmacy chain.(1) 2 2.1.1 Purpose 2 2.1.2 System Users 2 2.1.3 Inputs to the System 2 2.1.4 Outputs from the System 2 2.2 Decision Support Systems – for Home Depot (2) 2 2.2.1 Purpose 2 2.2.2 System Users 3 2.2.3 Inputs to the System 3 2.2.4 Outputs from the System 3 2.3 Executive Information Systems – for Wal-Mart (3) 3 2.3.1 Purpose 3 2.3.2 System Users 3 2.3.3 Inputs to the System 3 2.3.4 Outputs from the System 3 2.4 Expert Systems – for BIGHOSP, a major hospital.(4) 3 2.4.1 Purpose 3 2.4.2 System Users 3 2.4.3 Inputs to the System 4 2.4.4 Outputs from the System 4 3. HomeQuotes Solution 4 3.1 Mission 4 3.2 Functional Requirements 4 3.3 System-Level Use Cases 5 3.4 System-Level Constraints 5 4. Appendices 6 5. References 6 Introduction Information System is a judicious mixture of people, data, processes and information technology that collectively gather, process, store and provide the needed information as output, to users that will help support the organization. There are two parts to this assignment. The first part, explains four different types of information system for a given industry. The second part uses the System analysis methodology to implement a solution for HomeQuotes company. Assignment Part 1 Management Information Systems - for WallGray’s pharmacy chain.(1) Purpose The primary purpose of this system will be to collect both product...
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...Home Depot A. Executive Summary * Introduction * The Home Depot Story - First Stage (1979-2000) * The Home Depot Story – Second Stage (2000 – 2006) * Problem Identification * Case Questions Introduction * Home Depot was founded in 1978 in Atlanta, Georgia by Bernie Marcus and Arthur Blank. * Both of them worked at Home Improvement Company in California and were fire by this company. * So instead of looking for a new job they decide to start up their own business based on a vision they had. * This vision was about creating home improvement stores similar to warehouses where customers would be able to find different types of tools and products with the help of experts in home improvement and customer service. * Home Depot created the concept “Do it yourself” (DIY) where homeowners were encouraged to buy products and tools and to use them to build, repair and improve their own homes. * This concept of “Do it yourself” was Home Depot’s main strategy to become successful in the Home Improvement industry. The “Do it yourself concept consisted on: * Prioritizing customer service (special attention to their customers problems) * Providing customers with training workshops and clinics to teach them how to repair their own homes. * Vendors and sale associates went through a rigorous training in product use before servicing customers. * Sales associates develop relationships with customers rather than just merely seeing...
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...The Home Depot Financial Management Project Company Financial Analysis For: Professor Ana Machuca Submitted by Team A: Betcher, Rhonda Cammack, Cheryl Desai, Shekhar Barnes, John Babatunde, Lasisi Adamson, Christopher Submission Date: February 26, 2012 TABLE OF CONTENTS EXECUTIVE SUMMARY: ...................................................................................... 3. COMPANY INTRODUCTION: ............................................................................... 5. FINANCIAL ANALYSIS: ......................................................................................... 8. WEIGHTED AVERAGE COST OF CAPTIAL (WACC): ........................................ 11. FUTURE CASH FLOWS: ...................................................................................... 16. HISTORICAL STOCK PRICE: .............................................................................. 22. SECURITY ANALYST’S REPORTS: .................................................................... 25. DIVIDEND and CAPITAL STRUCTURE: .............................................................. 26. CORPORATE GOVERNANCE: ............................................................................ 28. MERGER and INTERNATIONAL STRATEGY: .................................................... 29. REFERENCES: .....................................................................................................
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...Curriculum Vitae Daniel Alex Wache Kapila Tel: Mobile: +260 977 12 33 91 or +260 972 45 95 63 or +260 954 12 15 58 email: dwaj2007@yahoo.com |PERSONAL PROFILE | | | | | |SEX: MALE | | |DATE OF BIRTH:29TH August, 1973 | | |AGE: 39 YEARS | | |Married and Children : 4 ( two Boys and two Girls ) | | |Nationality: Zambian ...
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...: Eagle Industry Case 1. Why are office products frequently chosen as a lead commodity in strategic sourcing efforts? In an effort to reduce the overall costs associated with the purchases of the outside goods and services, though the office supplies were not the largest part, it’s chosen for variety of reasons: a. With office supplies, there is no difficulties in comparison and substitution as there is very little or no differentiation among the suppliers and products. b. Also, with initial understanding obtained from the data, quick hit opportunities are present for savings. 2. What observations can you develop about Eagle's SKU usage, prices they pay and contracts they currently use? a. About the SKU usage, the there were broad range of products as well as individual items purchased per category. b. The prices Eagle paid with large difference in the prices for the identical items by the same supplier. Also, there was a greater variance across the vendors for the prices on some items as 50% or more. c. The spending was made through three suppliers-two are contract and one catalog supplier. The prices for the identical items by same supplier varied. The variance was even greater across the vendors. Though the catalog supplier used promotional pricing, price comparison shoed that the non-discounted items were prices premium as compared to contract suppliers. 3. Discuss potential implementation barriers. Though the office supplies category...
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