The Current Challenging Global Economic Environment Essay

Uncertain economic times In the current challenging global economic environment, there is downward pressure on sales and margins. The overall effect is an adverse impact on the bottom line, leading to lower profits or even losses. In such times, reigning in costs and expenses are even more crucial. Let s explore some cost control strategies that could help a company adapt and survive through the current uncertain economic times, as well as to position it strongly for the upturn. Broadly, we could look at them as financial and people strategies. Financial strategies BALANCE SHEET There are 3 aspects in a company s balance sheet which we could look for cash flow and cost saving opportunities: Accounts Receivables (credit) Management Most businesses offer credit to customers. The related costs of credit to a company include the cost of financing (borrowing cost or opportunity cost for funds tied up), cost of running credit operations, cost of time to chase for debts, cost of bad debts and cost of debt recovery (legal fees). This area is particularly critical given the present tight credit situation faced by many companies. By invoicing promptly and accurately, a company can ensure that its debt collection process is timely and efficient and that crucial cash flows are received promptly from customers. Having a robust credit management process will help a company reduce the risk of slow payments. In particular, through rigorous credit screening and taking earlyShow MoreRelatedAbc Company - 1 Essays1236 Words   |  5 Pagesmaking cedar roofing and siding shingles, introducing the new project to build cedar dollhouses by shingle scrap materials for reaching $3  million annual sales within the next 3 years. Expla in the overall risk profile of the ABC Company  based on current economic and industry issues. In order to help out the CEO I prepare  reports that will contain the information regarding the project. These statements refer to the accompanying Excel spreadsheet as well as word documents. The statements are; Cash FlowRead MoreInternational Trade And Trade Agreements Essay1396 Words   |  6 Pages Global business is defined as the buying and selling of goods and services by people from different countries (McWilliams Williams 2010). It also has to do with international trade and trade agreements. Corporations that own businesses in two or more countries are called multinational corporations (McWilliams Williams 2010). Most of these global businesses main headquarters are found in the United States or the United Kingdom. Expanding to a global market is quite a complex process and businessesRead More Ecofeminism- Links the domination of women and the domination of nature.958 Words   |  4 PagesExpanding Feminist Activism Ecological Feminism: local/global activism Ecofeminism- Links the domination of women and the domination of nature. Ecofeminism places importance on our connection as people of one earth and also recognizes how women have been, historically in the capitalist patriarchy, labeled as subordinate in relation to the dominating body. The environment falls into this subordinate category because it continues to be pressed and used to benefit the man machine. It may beRead MoreResearch Essay On Global Pollution1172 Words   |  5 PagesResearch Essay on Global Pollution The global pollution is one of the major hazards human civilization is confronted with at present. Few issues in the history of mankind had such a pronounced and universal effect on the entire population of our planet, its environment, flora and fauna. Pollution is a problem that also needs to be analyzed and handled in terms of its perspectives in the future, both short- and long-term. Pollution is defined as the process and result of the introduction of foreignRead MoreErp Systems : Integrated Information System1598 Words   |  7 PagesSnider et. al. (2009), ERP is a system where it stores various department data in central repository. ERP – Enterprise Resource Planning is integrated information system software where the different core business processes are processed in real-time environment. Mabert et. al. (2003) ERP systems gives access to real time data based on seamless integration of cross functional data with improved business practices, better workflow and standa rdization of various day to day business processes. ERP softwareRead MoreEconomic Crisis In Spain755 Words   |  4 Pages Spain After experiencing a prolonged recession due the global financial crisis that began in 2008, Spain started to experience a positive economic growth in 2013 that contributed to the end of the financial crisis that the country was submerged in. Spain GDP (per capita) started growing slowly from a $31,992.8 in 2012 to a $36,443.2 in 2016, almost a 0.9% increase (Refer to table for details). In 2013, the year following the crisis, the government successfully shored up struggling banks; and, inRead MoreEssay about PESTEL Analysis986 Words   |  4 PagesSelling goods in the global marketing is extremely challenging. Discuss the major political, economic, socio-cultural, technological, legal and ecological challenges that a global marketing manager may have to contend with? The following analysis known as the PESTEL analysis is a framework used to scan the organization’s external macro environment which refers to forces that are part of the larger society and affect the micro environment. Selling and marketing goods in the global market intensifiesRead MoreA Report On The Chinese Nuclear Industry1232 Words   |  5 Pagesthe only nation to increase their capacities. This thesis gives a detailed overview of the Chinese nuclear industry, including its challenges and opportunities. 1.1 Background China as the fastest growing economy worldwide, is currently facing a challenging time to meet the energy demand of their population (Dalpino, 2005, p. 46). The heavily populated Eastern region is often subject to electricity outages (Sternfeld, 2010, p. 4), as the used electricity is mainly generated in the less densely populatedRead MoreNV Philips Case Study.1223 Words   |  5 PagesCase Study Philips NV. 1. Describe changes in Philips environment occurring during the 1960s and 1970s (a) Philips operates in a very competitive market domestic and internationally. There have been various changes over the last decade, with the emergence of the company from a position near economic failure to a well-known brand that is still lacking in performance. From the 1960s onward, a number of significant changes took place. Due to the efforts of the GATT General Agreement on TariffsRead MoreControversial Decisions: Funds Spent on Education in New Jersey731 Words   |  3 Pagesthe surplus of damage in the poorer districts, but it is quite possible that parents in more affluent areas could offset some of those cuts for their children. No. 2. The primary economic goal for the United States in regard to trade is to increase the amount of exportation. This objective was announced by the current president in 2010; a mandate and leadership group (the Export Promotion Cabinet and the National Export Initiative) were both created to double the amount of exports from $1.56 trillion