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Subject:
Business & Marketing
Type:
Case Study
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English (U.S.)
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SMUnit V Case Study: Business and Marketing

Case Study Instructions:

Unit V Case Study Read the Assurance of Learning Exercise 8A and 8B on page 282 of the textbook. Prepare a product positioning map, and perform the EPS/EBIT calculations given in 8B. Discuss, in a two-page APA formatted paper, how the product positioning is aligned with McDonald’s corporate strategy. Identify potential gaps in the product line or weaknesses in positioning. Describe the relevance of the EPS/EBIT chart and why it is significant with respect to strategy implementation. Course Textbook David, F.R. (2011). Strategic management: Concepts and cases (13th ed.). Upper Saddle River, NJ: Prentice Hall.

 

Assurance of Learning Exercise 10A
Does McDonald's Have a Code of Business Ethics?
Purpose
This exercise aims to familiarize you with corporate codes of business ethics. Go to Starrs Standards of Business Conduct found at their www(dot)starbucks(dot)com Web site and more parjcs-larly at the http://www(dot)starbucks(dot)com/aboutus/SoBC_FY09_eng.pdfWeb page.
Then see the Code of Business Ethics for McDonald's Corporation or lack of one thereof, і A: time of this writing, the author could only find a social responsibility statement for McDonald -it was at the http://www(dot)mcdonalds(dot)com/usa/work/socialresp.html Web page.)
Instructions
Step 1    Go to the two Web sites just listed and print the Standards of Business Conduct inform;: t
(1) Starbucks Corp. and (2) McDonald's Corp. Read the two statements.

Step 2    On a separate sheet of paper, list three aspects that you like most and three aspects that J
least about (1) the Starbucks statement and (2) the McDonald's statement. In other worci pare the two statements. Conclude by indicating which statement of conduct you like be sl do you think it is best?
Step 3    Explain why having a code of business ethics is not sufficient for ensuring ethical beha\: -
organization. What other means are necessary to help ensure ethical behavior? Give the -example of a breach of ethical conduct that you recall in your work experience.

Case Study Sample Content Preview:

SM-UNIT V CASE STUDY
NAME:
BUSINESS AND MARKETING
GRADE COURSE:
TUTOR'S NAME:
DATE OF SUBMISSION
Amount Needed: $ 1 billion
Interest Rate: 5 %
EBIT Range: $ 6.332 billion + $ 9 billion
Tax Rate: 38 %
Annual Dividends: $ 0.30
Stock Price: $ 50
# Of Shares Outstanding: 1 billion
Table 1: EPS/EBIT Analysis for McDonald (B = In Billion

100 % Common Stock Financing

100 % Debt Financing

50 % Stock - 50 % Debt


Recession

Normal

Boom

Recession

Normal

Boom

Recession

Normal

Boom

EBIT

6.33

7.67

9.00

6.33

7.67

9.00

6.33

7.67

9.00

Interest

0.00

0.00

0.00

0.05

0.05

0.05

0.03

0.03

0.03

EBT

6.33

7.67

9.00

6.28

7.62

8.95

6.31

7.64

8.98

Taxes

2.41

2.91

3.42

2.39

2.89

3.40

2.40

2.90

3.41

EAT

3.93

4.75

5.58

3.89

4.72

5.55

3.91

...
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