...Jones Blair Company Case Synopsis Jones Blair Company (JBC) is a privately held corporation that produces and markets architectural paint and primarily serves the Southwestern part of United States. The company markets its paint and sundry items in more than 50 counties in Texas, Oklahoma, Louisiana, and New Mexico. Headquarter for the company is located in Dallas, Texas where it does most of it business. The Dallas-Fort Worth (DFW) metropolitan area is the major source of business as well as the financial center in the southwestern service area. JBC mainly target do-it-yourself customers who make up 50% of their sales and professional painters who make 25% of sales. The company sells top quality architectural paint and accessories at the highest price to various markets. They also sell original equipment manufacturing (OEM) materials throughout the U.S and worldwide. Though JBC’s sales have increased on annual basis the sales volume remained same. And since the competition in the industry has increased over the years the company fear facing a plateau in price. The company is also facing a major dilemma and must maintain their growth and profit margin, but in order to do so they have to increase their sales in a mature market. Therefore, the company has to decide what market to target (Southwestern part like Dallas Forth-Worth or surrounding areas), who to target (do-it yourselfers or professionals), and how in order to expand their brand and market share. This case will examine...
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...Background & Problem definition Jones Blair Company is a privately held company headquartered in Dallas, that produces and markets architectural paint under the Jones Blair brand name, markets its paint and sundry items, in over 50 counties and 11 DFW metropolitan areas, as the paint industry in USA is reaching towards its maturity and due to Govt. regulations and policies, several paint manufacturing companies have closed shop or have been acquired by big giants. Jones Blair Company is desperately trying to maintain its existence and improve its existing market of architectural paint segment in southwestern United States. Market & Industry analysis US paint industry can be classified into shelf good, comprising of 43% of market share, OEM, 35% and special purpose coating comprises of 22%, the forecasted figure for year 2005 for entire industry is $16billion out of which shelf good or architectural paint and sundries, comprises of $12 billion and more. Monopolistic, patronizing (loyalty) is hard to establish, with over 2 percent growth per year, and competition from substitutes, govt. regulations, the US paint industry is going through major turnaround, survival seems to difficult without innovation and compromising, however Jones Blair Company has stick to its product based pricing and is premium in the specific segment, but as the competition is increasing and mass merchandiser coming into existence, it is tough for the JBC to maintain its market share. Consumer, is...
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...relationship between 3-Month T-bill rate and Dow Jones Index Index 1. Introduction………………………………………………3 2. Modeling the relationship between the 3-Month T-bill rates and Dow Jones Index (First Model)……………………3 3. Hypothesis and Testing…………………………………...4 4. Empirical Analysis………………………………………...5 5. Further Comparison………………………………………5 6. Conclusion…………………………………………………7 7. Appendix……………………………………………………8 8. Reference…………………………………………………..10 1. Introduction The 3-month T-bill rates and Dow Jones index are really close to the whole economic environment; the 3-month T-Bill rates are the preeminent default-risk-free rates in the US money market that is often used by researchers to proxy the risk-free asset whose existence is assumed by much conventional finance theory. Given their importance and visibility, it is not surprising that these interest rates has been studied extensively in economic and finance. Dow Jones Index, undoubtedly, is one of the most important economic indicators of the global financial market, This paper investigates the relationship between these two important economic data. In order to cover the business circle, the data which I choose is from 2001/01/01-2010/12/31, including the subprime lending crisis period. I use SAS and excel to get the information which indicates the relationship between these two representing data. 2. Modeling the relationship between the 3-Month T-bill rates and Dow Jones Index (First Model) In order to present...
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...10/23/2014 Global Growth Woes Threaten to Beset U.S. Economy - WSJ - WSJ This copy is for your personal, non-c ommercial use only. To order presentation-ready copies for distribution to your c olleagues, c lients or customers visit http://www.djreprints.com. http://online.wsj.com/articles/global-growth-woes-threaten-to-beset-u-s-economy-1413924119 ĚČǾŇǾMỲ Fįvě-Ỳěǻř Řěčǿvěřỳ Fǻčěș Ŀǻțěșț Țěșț ǿf Řěșįŀįěňčỳ ǻș Ěxțěřňǻŀ Șħǿčķș Mǿųňț Bỳ JǾȘĦ ŻŲMBŘŲŇ ǻňđ ŇİČĶ ȚİMİŘǺǾȘ Ǿčț. 21, 2014 4:41 p.m. ĚȚ Țħě șpěčțěř ǿf đěfŀǻțįǿň įň Ěųřǿpě ǻňđ ǻ șŀǿẅđǿẅň įň Čħįňǻ ǻňđ ǿțħěř ěměřģįňģ mǻřķěțș ǻřě țħřěǻțěňįňģ țǿ ħǿbbŀě țħě Ų.Ș. ěčǿňǿmỳ ǻț ǻ țįmě ẅħěň țħě ẅǿřŀđ čǿųŀđ ųșě ǻ řěŀįǻbŀě ģřǿẅțħ ěňģįňě. Șțǿřmș ǻbřǿǻđ ħǻvě țħřěǻțěňěđ țǿ čǻpșįżě țħě Ų.Ș. ěčǿňǿmįč ěxpǻňșįǿň įň ěǻčħ ǿf țħě pǻșț fǿųř ỳěǻřș. Ěǻčħ țįmě, țħě Ų.Ș. ěčǿňǿmỳ ħǻș ẅįțħșțǿǿđ țħě bųmpș—įňčŀųđįňģ țħě ěųřǿżǿňě đěbț čřįșįș ǻňđ țħě Jǻpǻňěșě ňųčŀěǻř đįșǻșțěř—čǿňțįňųįňģ ǿň įțș șŀǿẅ-bųțșțěǻđỳ ģřǿẅțħ țřǻjěčțǿřỳ. Ňǿẅ, țħě ģǻțħěřįňģ ǿvěřșěǻș șħǿčķș ǻřě čǿmįňģ ǻș țħě Fěđěřǻŀ Řěșěřvě běģįňș țǿ pųŀŀ bǻčķ ǿň țħě ěǻșỳ-mǿňěỳ pǿŀįčįěș įț ħǻș ěmpŀǿỳěđ țǿ ǻįđ țħě řěčǿvěřỳ. Ẅħįŀě ǿvěřǻŀŀ jǿb ģřǿẅțħ įň țħě Ų.Ș. ħǻș běěň șțřǿňģ ǿvěř țħě pǻșț șěvěřǻŀ mǿňțħș, țħě ħǿųșįňģ mǻřķěț ħǻș běěň mįxěđ ǻňđ čǿňșųměřș ħǻvě șħǿẅň čǻųțįǿň. Ẅħįŀě țħě ǻģįňģ bųŀŀ mǻřķěț įș ǿffěřįňģ șŀįm pįčķįňģș, ěqųįțįěș ǻřě ěxpěčțěđ țǿ ẅįțħșțǻňđ ģěǿpǿŀįțįčǻŀ čǿňčěřňș. Řųșșěŀŀ İňvěșțměňțș' Șțěpħěň Ẅǿǿđ ěxpŀǻįňș ẅħỳ. Pħǿțǿ: Ģěțțỳ “Țħě Ų.Ș. fǿř ňǿẅ įș ģřǿẅįňģ ǿň įțș ǿẅň, bųț...
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...8/30/2014 McDonald's Faces 'Millennial' Challenge - WSJ Dow Jones Reprints: This copy is for your personal, non-commercial use only. To order presentation-ready copies for distribution to your colleagues, clients or customers, use the Order Reprints tool at the bottom of any article or visit www.djreprints.com See a sample reprint in PDF format. Order a reprint of this article now BUSINESS McDonald's Faces 'Millennial' Challenge Customers in Their 20s and 30s Are Defecting to Fast-Casual Restaurants Like Chipotle, Five Guys By JULIE JARGON Aug. 24, 2014 9:05 p.m. ET McDonald's is trying to enhance its credibility with young customers by marketing more on digital channels and testing mobile ordering and payment. Associated Press Behind McDonald's Corp.'s worst slump in a decade is a trend that may augur even tougher times ahead: The Golden Arches is losing its luster with younger consumers. The world's largest restaurant company by revenue earlier this month reported its sharpest monthly decline in global same-store sales since early 2003, adjusted for calendar irregularities. In the U.S., with more than 40% of McDonald's 35,000-plus global locations, sales at restaurants open at least 13 months have been flat or falling for most of the past year. The hamburger giant on Friday announced it was replacing the head of its U.S. division for the second time in less than two years. The company tapped a former executive, Mike Andres, to take the helm of ...
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...anomalies. While a momentum factor helps to explain the returns observed in the market, it also implies that markets are not efficient in any form. If that’s the case, then it should be possible to generate returns with a technical trading strategy on stocks that are significantly correlated with the momentum factor. Strategy Implementation Stock Screening We chose the firms within the Dow Jones Industrial 30 as our stock universe and traded all securities that are significantly correlated with the Fama-French Carhart Momentum Factor. The Dow 30 consists of high quality, highly liquid large cap stocks. Their liquidity characteristic increases the likelihood that “herding” will be observed and reduces the impact of entering and exiting positions. We gathered all the returns from 2010-2014 for these 30 companies including American Express, Dupont and Goldman Sachs and data of the four factors from 2010-2014. We ran simple linear regressions of daily stock returns within one calendar year against the daily metrics of the four factors and selected the companies that were significantly correlated with the...
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...proposal at the peak of the financial crisis in 2008, but debate and revisions delayed the final standard, which didn’t go up for a vote until May. http://blogs.wsj.com/cfo/2014/08/27/executive-responsibility-for-going-concern-disclosures-increases/tab/print/ 1/2 10/4/2014 Executive Responsibility For ‘Going Concern’ Disclosures Increases - The CFO Report - WSJ Supporters of the changes have argued that corporate managers have better information about a company’s ability to continue financing their operations than auditors. The updated rule will force executives to disclose serious risks even if management has a credible plan to alleviate them, for example. Information currently disclosed by companies can vary significantly. Only about 40% of companies that filed for bankruptcy in...
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...” Costas Paris is a senior correspondent in the London bureau of The Wall Street Journal. He specializes on global logistics, demands of goods, and supply trends. He joined the Journal back in 2011 and has since covered global shipping, ports and logistics. He has been a journalist since 1987, reporting news and covering stories for a News Reporter from 1987 to 2000. Afterword, becoming Bureau Chief of Dow Jones Newswires from 2008 to 2011. And now, reporting for The Wall Street Journal. In the article, he writes about the implications the energy boom has had on the transforming product-tanker shipping demand. Shipping operators and investors are spending billions of dollars into building new oceangoing tankers to transport diesel, gasoline and aviation fuel, scrambling to keep up with North America's energy boom. Due to energy boom, cost and expenses in refineries have dropped substantially, creating a pro-growth environment. Profits are risings, investment levels are high, and demand is growing rapidly, thus creating a perfect economic scenario for any energy company. A perfect example would...
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...SAN FRANCISCO (MarketWatch) — Facebook Inc. isn’t the only social-media company marking the anniversary of its public trading debut this week. LinkedIn Corp. LNKD, +0.36% will celebrate the second anniversary of its initial public offering on Sunday, a day after Facebook FB, -1.53% marks its first birthday as a public company. In LinkedIn’s case, “celebrate” is the appropriate word. “LinkedIn has been the belle of the social IPO ball,” analyst Roger Kay of Endpoint Technologies Associates told MarketWatch. While it didn’t attract the pop culture frenzy that Facebook enjoyed, the LinkedIn IPO will be remembered as one of the most successful social-media trading debuts in history. LinkedIn shares edged up by a fraction to close at $182.35 on Friday. That’s roughly four times their IPO price of $45. When it debuted on May 19, 2011, the stock more than doubled to close at $94.25. On the other hand, Facebook ended its debut trading day with a gain of 23 cents. LinkedIn’s debut was supposed to be just the first wave of social-media IPOs that was expected to reach a high point with Facebook. LinkedIn didn't just have a far more successful trading debut, it has maintained a solid momentum. ‘LinkedIn has tapped into a core set of jobs that professionals want to get done around managing your professional network, looking for a new job, refining your skills. They kind of disrupted the Rolodex.’ Crawford Del Prete, IDC analyst LinkedIn has more than 225...
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...Technical Analysis of Dow Jones | Trading and Exchange | | Submitted by Muhammad Suleman Usama Khan | Reg # L1S14MBAM0041 | Submitted To: Sir Nizam Feroz | Introduction: The Dow Jones Industrial Average is also called the Industrial Average, the Dow 30, or simply the Dow market, is a stock market index. The industrial average was first calculated on May 26, 1896. Currently owned by S&P Dow Jones Indices, which is majority owned by McGraw-Hill Financial, it is the most notable of the Dow Averages, of which the first (non-industrial) was first published on February 16, 1885. It is an index that shows how 30 large publicly owned companies based in the United States have traded during a standard trading session in the stock market. 6-july-2015 Explanation: On 6-july-2015 the trend in the US-30 or Dow Jones industrial was bearish which shows that market’s closing was at low than its opening (i.e. open at 17,728.08 and close at 17,683.58). During the day the stock traded at highest price of 17,734.36 and the lowest price was about 17,564.36 The market was bearish because most of the performers went worst. The worst performers of the session were Cater pillar Inc. (CAT), Chevron corporation (CVX), General electric (GE) etc. Except of bad performers the companies which outperform during the day were Apple Inc., American Express Company, and The Boeing etc. News released on 6-july-2015 was about one of the listed company in the US-30, the main heading...
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...before interest, taxes, depreciation and amortization of $104 million in 2013. The shares, which traded as high as 31 times annual sales...Reducing its multiple from 22 times annual sales now to that level by 2014 would require... To bring its price-sales ratio in line with the Dow Jones Internet Services Index multiple of 3.7... More than 30 million shares changed hands the first day of trading, 3.8 times the amount sold to the public...About 85.7 million shares owned by insiders and money managers start to become eligible for trading 180 days after the IPO. ...is probably able to convert about 15 percent of its sales into EBITDA, and may generate $680 million in revenue next year... While it trades for a higher price-to-sales ratio than its peers, it’s also growing faster. MySocialMedia’s valuation of 22 times sales compares with an average of 9.2 times estimated 2012 revenue at Web business software companies... ...a comeback in venture-capital IPOs propelled MySocialMedia.com to a high of $122 in its first day of trading from an initial price of $45. With a market value of $8.4 billion, the company must boost revenue to bring its price-sales ratio in line with the Dow Jones Internet Services Index by 2014... As an equity analyst, using the materials covered in MSF 535 and the news clippings presented above, provide a maximum of a three page analysis of MySocialMedia.com for your...
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...Companies issue shares of stock to raise funds for their business. The investor buys stock with the hope that it pays dividends, or earnings. The investor also hopes the price of the stock will increase in value. There is no guarantee that there will be dividends or the price will go up. Investors buy and sell shares in the stock market. This is called a secondary market. The money changing hands does not go to the company. A company is worth whatever the total of it's stock is currently worth. So the company has to show that it has good products and services and that they are earning revenue and profits. If the company is not growing properly then people want to sell the stock and the traded price goes down. If the company is doing well then more people want the stock and the price goes. What do you mean by both titles. There are so many companies that offer stock. There are several exchanges or stock markets. The New York Stock Exchange. Since there are so many companies someone invested the Dow Jones Industrial Average. Certain companies are in it and the Dow Jones company has a formula for determining the number. If the number goes up the companies in the DJIA are more valuable. When you hold stock that is an asset. You paid cash for it. When you sell it is when you realize the value. Companies and government also sell bonds to raise money for there organization. You buy the bond and when matures you hopefully get your money back with interest. You can trade...
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...Course- Introduction To Business Name- Mohammad Mowla Date- 11/04/13 Case Assignment # 2 Dow Jones Index ( McDonald's ) The Dow Jones Industrial Average is average price of 30 stoccks traded on the New York Stock Exchange and Nasdaq. Charles Dow invented Dow Jones Industrial Average in 1896. Companies like General Electric, Disney, Exxon and Microsoft includes in the Dow Jones Industry Average. DJIA is one of the single and oldest index in the world. Roy Kroc discovered a small burger restaurent in california. From that time now it serve to 118 countries now with more than 34,000 restaurents serving nearly 69 millio people everyday.In 1961, Ray launched a training program, later called Hamburger University, at a new restaurant in Elk Grove Village, Illinois. There, franchisees and operators were trained in the scientific methods of running a successful McDonald’s. Hamburger U also had a research and to develop new cooking, freezing, storing and serving methods. Today, more than 80,000 people have graduated from the program. Sustainability is an important focus for McDonald’s. Their sustainability efforts shows that their business policies and practices complements their company and makes a positive impact on societies it’s involved in. McDonald’s rising and continual existence is very significant, along with numerous opportunities and expectations. It is employing over 1.8 million employees all around the world in over 118 countries. ...
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...Explain your answer. Firm X Firm Y Firm Z Dividend per Share (d1) Current Share Price K Return on Equity Reinvestment in Firm / Plow back (b) Question 2: Suppose that the consensus forecast of security analysts of XYZ company is that the earnings next year will be E1 = $5 per share. Suppose that the company tends to plow back 50% of its earnings and pay the rest as dividends. The Chief Financial Officer (CFO) estimates that the company’s growth rate will be 6% from now onwards. (a) If your estimate of the company’s required rate of return on its stock is 10%, what is the equilibrium price of the stock? (b) How can you find if your own 10% estimate of the stock’s required rate of return is shared by the rest of the market? (c) Now assume that the required estimate of 10% is shared by the market, what does the market price of $50.00 per share imply about the market’s estimate of the company’s growth rate? $1 $100 10% 10% 95% $10 $180 10% 10% 50% $15 $200 10% 15% 25% Question 3 Starting date: Closing Prices on the date (Nov 5) of the submission date of Problem Set 6 Ending Date: Closing Prices, Nov 24. Assume that you have $100,000 that you decided to invest in either 1 company or 2 companies from the 30 companies that are listed below (these are the companies that the dow index is constructed from). Your performance in problem set 10 will be evaluated according to: (return of your portfolio minus Rf)/ Beta of the portfolio In the evaluation, we will make few simplifying...
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...that were shared with the masses: simplify, control the experience, innovate, ignore reality, have confidence, rethink design, team with winners, collaborate, vision + details, rebel (Kalla, 2012). Jobs was able to bring Apple’s stock from $10 a share to over $400 making it one of the most valuable technology companies in the world (CNNMoney, n.d.). Jobs had an ability to create innovative products and then create the need from the consumer. He was passionate about his products and its quality. Jobs never released a product that he felt was inferior in any way. He knew his vision and his success come from the clear understanding and following of the vision (Young Entrepreneur Council, 2013). His vision and direction really helped the company sustain a competitive advantage. It became clear in the stock market that people believed not necessarily in the company but rather in the Jobs visionary leadership. When Jobs would take a sabbatical, the stock would drop and when he would return, stock rose (Wearden, G, 2011). Jack Welch Jack Welch was the CEO of General Electric (GE) for 21 years. GE is the only company that was listed in the original Dow Jones index that remains today (GE, 2014, para 3). Today, it operates in more...
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