Business Finance Theory & Practice- Financial rationale of a strategic Essay

Business Finance Theory & Practice- Financial rationale of a strategic adjustmentFinancial rationale of a strategic readjustment - Essay ExampleIt seeks to achieve this aim through production of quality items, timely response to customer needs and investment on future projects. henry Williams founded the party in the year 1859 as a small wardrobe clothing company. Despite its small start, the company has expanded its network and business units to heterogeneous market destinations globally including US. The expansion is resulting to high totality of revenue and asset development. The level of performance can be ascertained from its strong revenue invertebrate foot and asset capacity as contained in its financial statements. For instance, the company recorded a gross profit of 440 million in the year 2014 up from the amount realized in the year 2011 that stood at 690. Likewise, the company reported an encouraging net profit and sales of 75900 and 834 in the year ending 2014 respec tively. Its net asset worth was also reported at 485300 in the year 2014 up from 319000 in the year 2011. The growth in the companys capital make and revenues including assets depicts a good start for the company that operates in the competitive industry.Although the firm is reporting positive figures in its balance sheet, the performance, there is need for the company to remedy its balance sheet figures to facilitate its competitiveness in the market. To achieve this there are various financial developments or process plans that the company can adopt. The action plans are essential since they hold the capacity of revolutionizing the revenue entry points through diversification and expand income capacity (Salhanick, Kipnis & Wiele, 1995, p. 67). The probable action plans include adopting product diversification, seek for strategic partnership, injecting more capital to increase productivity and reaching out to a wider market spectrum. All these action plans forms viable tools th at the clothe making company can embrace to ensure that its balance sheet is boosted to higher levels. The action