1 / 12

BSG Performance Analyses

Explore industry best practices in leveraging economies of scale, sustainable growth indices, and celebrity partnerships for enhanced profitability and operational efficiency. Dive into performance analyses and key success factors in different regions.

rsampson
Download Presentation

BSG Performance Analyses

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Blair Cannon Nikita Gowin Joey Fleming BSG Performance Analyses

  2. North America

  3. Europe-Africa

  4. Asia-Pacific

  5. Latin America

  6. BEST in Industry KSF-(FIRST ranked team) Economy of Scale • Costs/total assets $352,929,000/$832,080,000= .42 • Lower EOS is better with growth strategy • Increased operating capacity • Built new plant in unsaturated market • Maintaining 3 manufacturing plants in 3 different regions • First mover’s into the Latin America region • Leads to lower costs/expenses per unit • More effective and efficient operations • Leads to more profit and increased profit margin

  7. BEST in Industry KSF-(FIRST ranked team) Celebrity Appeal • Multiple long-term contracts with celebrities • Effects: • Increased branded sales volume • Increased market share • Increased image rating

  8. BEST in Industry KSF–(FIRST ranked team)G* (index of sustainable growth) • G*=(1-dividend payout ratio)*ROE • G* = (1- 387/73174)30= 29.84 • Higher the G* the better it is for growth • Long term financing/debt • Used funding to increase capacity and equipment allowing for economy of scale • Financial leverage also helps in magnifying ROE

  9. BEST in Industry KSF- (Last ranked team) Economy of Scale • Costs/total assets $150,985,000/226,390,000= .67 • Have not achieved Economies of Scale • Increased their spending but not enough to meet Economies of Scale

  10. BEST in Industry (LAST ranked team) G*(index of sustainable growth) • Have a low G* because of their low ROE • G*=(1-dividend payout ratio)*ROE • G*=(1-0)*6.4= 6.4 • Compared to the first ranked company who has a G* equal to 29.84

  11. BEST in Industry KSF- (LAST ranked team) Celebrity Appeal • Have 2 celebrities in Europe, but not utilizing European market. • Not taking enough risks with investing in advertising. • Only increased by 1000 • Effects: • Increased market share in internet • Decreased market share in wholesale • Lost sales increased significantly

More Related