Current events paper Essay Example | Topics and Well Written Essays - 500 words - 3

Current events paper - Essay Example Managing adequate levels of inventory is important to ensure that the firm’s inventory balance does not hurt the cash position of a firm. In the retailing industry the merchandise in the shelves of the stores represent the inventory of the company. A way to reduce the cost of acquiring merchandise in the merchandising sector is by purchasing in bulk. Companies that purchase in bulk are able to achieve economies of scale. A way to reduce the risk of losing inventory due to fires, natural disasters, or theft is by purchasing insurance for the inventory of a company. The article Your Inventory is Your Cash: Handle With Care (4 Cost-Cutting Tips) discusses the effect and importance of inventory for companies in the industry. Smart use of inventory is an important factor that managers must consider. A lot of space, sales opportunities and cash are tied up on inventory. Storing adequate levels of inventory is important to achieve sales growth. â€Å"Smart use of inventory is vital for them and also for you, if you keep and store any kind of goods or supplies in the operation of your business† (Williams). Four strategies that must be used to manage inventory are frugality, cost tracking, inventory tracking, and sales monitoring. Proper management of inventory can increase the profitability and cash flow of a company. It is important to minimize the amount of slow selling products on inventory. Minimizing inventory saves warehouse space, prevents products from going bad, and it saves money. Tracking costs allows companies to establish appropri ate price levels for its customers. Monitoring costs gives managers the ability to identify areas for improvement. Tracking inventory can help a company determine the proper reorder point of inventory items. Sales monitoring gives the manager the ability to determine the adequate sales level when demand changes. Inventory management has become a critical

Pub industry Case Study Example | Topics and Well Written Essays - 2750 words

Pub industry - Case Study Example Certainly, this measure was applauded by the owners of the pubs and there are good reasons to expect the increase in the number of the customers. Another legislative initiative might more detrimental to the industry of pubs. Labor party has proposed to introduce total ban on the smoking in pubs, though it is still a proposal and is widely debated. In current edition of the proposed legislature smoking will be allowed only in those pubs that do not serve the food. One of the impacts is undoubtedly possible negative consequences for the business of the pubs. If this initiative is accepted, the pub industry will have to adapt itself to new environment and devise new ways to lure their steadfast customers. It can do it either by shifting to new pubs that will provide clients with drinks (new strategy should be devised in this case) or by reorganizing its chain of the pubs ( as Wetherspoon is large company it might try to reorganize its chain by establishing two types of the pubs- those which serve the food and those that do not. This reorganization should be based after thorough investigation of geographical and social factors, once the company has obtained a reliable data on where it would be more appropriative to open the pubs mentioned). Economic factors. The UK has one of the most developed economies in the world, with the annual growth rate of 1.7% percent in 2005. (Prediction). The GNP per capita is one of the highest in the world; it is one of the most important factors as it means high purchasing power of Britons, who enjoy going out and currently have less time, possibilities and inclinations to cook meal at home. Strong economy also means the possibility for expansions on the market and provides the company with stable environment to plan...Economic factors. The UK has one of the most developed economies in the world, with the annual growth rate of 1.7% percent in 2005. (Prediction). The GNP per capita is one of the highest in the world; it is one of the most important factors as it means high purchasing power of Britons, who enjoy going out and currently have less time, possibilities and inclinations to cook meal at home. Strong economy also means the possibility for expansions on the market and provides the company with stable environment to plan its future operations. Several import restrictions on the technological equipments or raw materials used in the production of the beer, might hamper the development of the industry. The industry might also suffer from low import duties on alcoholic drinks, which encourage customers to purchase the drink abroad. Social factors. Several social factors such as late marriage, increasing number of divorces and growing number of persons with high incomes as well as more hours spent at the workplace might influence the business of the pub industry. More and more people prefer to go out to dine at the pubs; the majority of them simply do not have enough time to cook the meals at home. That is why the company should study these factors thoroughly in order to understand what forces are driving people to dine out. There are no grounds to expect any technological innovations or breakthrough in the industry in the nearest future, neither there is a possibility for the breakthrough in the long-term.