This case gives a comprehensive introduction to the basic principles of capital budgeting. It makes available two case scenarios that revolve around the athletic footwear industry segment. The very first exercise is about a running sneaker with a large capital outlay and also a six-year project life. It features many traditional job cash flows along with a significant endorsement risk.
The next exercise involves appraising a hiking shoe project with a smaller first investment in a rapidly growing but unfamiliar market section. This case has been used by the authors with audiences including MBAs, sophomore undergraduates, and experienced executives. In the very first two crowds, spreadsheet options are built by students from the premises provided; for executives, we focus more on qualitative discussion and on interpretation of financial metrics and frequently give them the accomplished analysis. We've also used both or one of the exercises as exam questions.
Sneaker 2013 case study solution
PUBLICATION DATE: March 01, 2015 PRODUCT #: BAB166-PDF-ENG
This is just an excerpt. This case is about FINANCE & ACCOUNTING
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