Generally, the paper "Evaluation of Business - Acme Corporation " is a perfect example of a business case study. Evaluating a company’ s underlying environments in an industry is important because of the analysis's role in the establishment of the company’ s strategic direction in different situations. It gives an insight into how CEOs effectively make use of analytical tools and basic concepts in the context of a company’ s industry situation and competitive conditions. It also identifies, explores and examines factors resulting in relatively weak, less normal and fierce competition within an industry. Company analysis determines if an industry outlook presents a threat to specific companies or opportunities for profitability and growth.
According to Per Lindberg (2013) company evaluation analysis is significant in regard to industry competitive and rivalry conditions, evaluations play important role in the formulation of strategies addressing specific company situations (Per Lindberg 2013). Summary of Case Study The Australian building products industry in 2014 was worth over $2billion. Acme Corporation is one of the firms supplying building products commanding a significant market share in this industry. Acme is a business to business (B2B) company selling its materials and products through retailer customers such as Bunnings.
Acme Corporation does not have a direct relationship with its product end-users. This market consists of trade and DIY (do-it-yourself) as the end-user segments. In 2014 the company’ s total sales amounted to $678 million and registering Earnings Before Interest, Taxes and Amortization (EBITA) of 18% making this company best performing in contrast with its competitors. Key major competitors of Acme Corporation include Tasmanian based known as Shesright Pty Ltd and Hammer & Tong (H& T) a subsidiary of a French company that has its operations in 52 countries.
The two competitors operating in this market consist of 60% of the total revenue. Shesright Pty Ltd controls 46% of the market share attributed to its customer financing arrangements initiative making it popular among customers experiencing cash flow problems.
Bouyssou, TM 2006, Evaluation and decision models with multiple criteria: Stepping stones for the analyst. Springer Science & Business Media, New York.
Despres, C 2011, Proceedings of the 7th European conference on management, leadership and governance: SKEMA business school, Sophia-Antipolis, France, 6-7 October 2011. Academic Conferences Limited, London.
Egashiru, S 2013, Globalism and regional economy. London, Routledge.
Eversheim, W 2008, Innovation management for technical products: Systematic and integrated product development and production planning, Springer Science & Business Media, New York.
Graham, WA. 2008, Management accounting business strategy. Amsterdam: Elsevier.
Kuijper, M. D, 2009, Profit power economics: A new competitive strategy for creating sustainable wealth. Oxford University Press, Oxford.
Management Association, Information Resources 2012, Supply chain management: Concepts, methodologies, tools, and applications: Concepts, methodologies, tools, and applications. IGI Global, Hershey.
McIvor, R., 2005, The outsourcing process: Strategies for evaluation and management. Cambridge University Press, Cambridge.
Nijssen, RT 2013, Creating customer value through strategic marketing planning: A management approach. Springer Science & Business Media, New York.
Per Lindberg, CA 2013, International manufacturing strategies: Context, content and change. Springer Science & Business Media, New York.
Pride, OC 2014, Foundations of marketing. Cengage Learning, Boston.
Rostek, K 2011, Benchmarking collaborative networks: A Key to SME Competitiveness. Springer, New York:
Tomohisa, F 2014 Essential of strategic management theory: Business intelligence for strategic management innovation. Tom publishing, Hong Kong.
Triantis, JE 2013, Navigating strategic decisions: The power of sound analysis and forecasting foundations of marketing, Boston: Cengage Learning.