OCR Business studies F297 - SHL Pre- Release 2014/2015

Yes, in terms on manufacturing.
Exchange rates are an issue and so are other ecomic factors. Communication and lead time are two large point also.

were the teachers really bad last year or was it because of students being lazy?

soz for the late reply, well the teaching was decent, students were also quite lazy.

what could you say about fig.4 in the case study?

so figure 4 doesn't show all the products that SHL sells and only shows a selected few items, SHL should review all items to see whether they're moving slowly or not. it also doesn't show the quantity of items that remain in stock which means that a proper decision cannot be made as we don't know how much stock is left and whether it is a problem or not. moreover given the size of SHL, the sales volume appears to be very small. the highest sales volume before the discounts is only 40 and even with discounts the sales volume doesn't increase as expected. the child polo shirt pink large even decreases by 5 even though it is £20.00 cheaper which suggests that SHL needs to change parts of its marketing mix as usually you would expect a significant increase in demand if the price is lowered.

Hello everyone,

For those who study business studies at A2 - Have you received any kind of resources or help on the case study?

I'm really struggling to pick out key points from the profit and loss account and the balance sheet

If you have any idea, please do let me know

Thank you

"To what extent is SHL's £70m sales revenue objective in 2016 realistic in the context of its current performance? Justify your view."

Could someone help me in answering this question please?

This question was answered on the previous page;
"So you could argue considering the niche market it targets then the consumer base isn't big enough but the fact that revenue has been increasing year on year suggests it's possible despite prices being high. However according to the selected discount data the sales volume seems quite low considering the size of SHL which means that they may not earn the revenue needed. Also appendix 2 shows that females in their target age range are projected to decrease over the next few years which means that they'll have a smaller consumer base. However the decrease isn't by that much and they also target men and children which are not projected to decreased so perhaps revenue won't decrease significantly. The profit and loss accounts are however from the end of the year which means that sales may have been high due to Christmas and may not actually be high all year round."

I've also answered this before, so hopefully it helps in some way...

talk about finance for Madidi - payback period - ARR - $5 million for 25% - if investment good in long term - could opt horizontal integration - buy further 26% shares - (51%) overall = they own it - ROCE for investment is low - could get a higher ROCE in a savings account with NO risk - ROCE for SHL in 2013 = 34%

doesnt fit with SHL 2016 objective to reduce risk - wont contribute much to £70 million saves revenue target as the forecast for the return of mardidi doesnt yield mcuh revenue from dividends.

does purchasing mardidi share give SHL the opportunity to sell the products in the UK through independent retailers?

talk about reliability of figures in study of payback for mardidi - Tim got them from this random guy - not very professional - not likely to be reliable - more research into mardidi required
doesn't fit with brand image - teenage -

sub-brand could be more lucrative - diversification (Ansoff matrix) more risky - not in line with business objectives - more market research required to make it work - no indication of market research in critical path analysis when bringing a new product to the market - something crazy like 90% don't succeed. talk about that

HRM cost of sub-brand - more staff - could take attention away from core business - could jeopardise objectives if sub-branding doesn't work

pm if you want more