ABC Company Final Assignment Example | Topics and Well Written Essays - 1500 words

first rudiment Company Final - Assignment grammatical caseIn the US alone t here are, several companies dealing with the same product of Cedar cover and siding shingles. Therefore, ABC Company has a large market to supply to raising its market contend although in a very competitive market. ABC Company is a company that specializes in fashioning cedar cover and siding shingles. It has a 25% sales margin and has a growth head of three million in the next three years. Besides the competition, the demand for roofing sidings and shingles stay high because of the high rate of forthcoming real estate ventures. Apart from facing competition generated by several other companies, dealing with cedar in production of roofing and siding shingles, ABC tends to, to a fault face high competition resulting from products manufactured using iron and system, companies that operate in the same market. The accustomed fact is that, cedars products piddle do have a higher competitive gain over r esembling products that are made of iron and clay. There is also a little disadvantage of cedar roofing and siding products, the prices tend to be too high thus scaring away potential customer, who resolves to cheaper iron products. ABC Company has a high chance of maintaining its development with minimal deviation from either downwards or upwards. The deviations could be because of the tough economic patterns forcing many homeowners who would prefer cheaper clay or iron products or clay products that are meant for their roofing and siding. ... I. Risk profile for ABC Company A assay profile labels an system impartingness to take risks as well as the threats to which an organization is exposed. Acceptable level of risk With a patsy growth of 3000,000, in the next three years, the risk associated with the growth should be laid out. The risk in introduction of a new product should also be included to ascertain the amount of risk ABC Company can take. As much as expansion comes to pave way for leverage on the acquirement in employees and the state of their manufacturing facilities, the risk involved should be evaluated to see whether the expansion will reduce or increase current risk. Possible threats One of the biggest threats will include competitors. The question here is how much risk is already there and in presence of competitors, how much are they willing to fatten out or change to gain more consumers? The answer will be found once they evaluate risk associated with competition Another threat is that of trying to find additional products to leverage on their employee skill set and manufacturing facilities. Introduction of the products depends on probability, which in itself has high risk. The skill set and manufacturing facilities are certain find risk areas The companys has had a profit increase of 25% from the previous year. They will have to maintain of better that outcome and with the introduction of a new idea will increase on costs. They have to ensure their cash flow is on a arbitrary trend. This will ensure positive cash flows that will encourage investment. In addition, another key risk area is on the funding of the project. They have to ensure that they pick the