п»ї4. Briefly describe the four criteria for sustainability of competitive advantages Four requirements for durability of competitive advantages: benefit, rarity, trouble imitation and difficulty in replacement. 1 . Could they be valuable? (Do they enable a firm to devise approaches that increase efficiency or effectiveness? ) 2 . Light beer rare? (If many other firms possess this, then it is definitely not exceptional. ) three or more. Are they imperfectly imitable (because of unique historical conditions, causally uncertain, and/or are socially complex)? 4. Are they non-substitutable? (If a ready substitute can be found, then this condition is definitely not attained? )
6th. What are the advantages and disadvantages of conducting monetary ratio research of a company?
This simplifies the financial statements.
It helps in comparing corporations of different size with each other. It assists in pattern analysis which involves comparing an individual company on the period. It highlights important information in simple form quickly. A user can judge a firm by just taking a look at few numbers instead of examining the whole financial statements. Cons
Despite performance, financial percentage analysis has some disadvantages. Several key demerits of financial rate analysis happen to be: Different corporations operate in several industries every having several environmental conditions such as regulation, market structure, etc . This kind of factors are really significant that a comparison of two companies via different industrial sectors might be deceptive. Financial accounting information can be affected by estimates and presumptions. Accounting requirements allow distinct accounting policies, which affects comparability thus ratio examination is less useful in such circumstances. Ratio examination explains associations between previous information whilst users are usually more concerned about current and upcoming information 7. Summarize the idea of the well balanced scorecard. Precisely what are its primary advantages? The idea of the balanced scorecard, in which four viewpoints...