162253199.doc - Running Head DEBENHAMS COMPANY 1 Debenhams...

This preview shows page 1 - 5 out of 16 pages.

Running Head: DEBENHAMS COMPANY 1 Debenhams Company Name: Institution: Date: Table of Contents Introduction ...................................................................................................................................... 3 Profitability ...................................................................................................................................... 4 Return on Assets .............................................................................................................................. 4 Return on Equity .............................................................................................................................. 5 Company’s efficiency measure ........................................................................................................ 6 Company’s Liquidity measure ......................................................................................................... 7 Investor Analysis ............................................................................................................................. 8 Narrative Analysis of Debenhams Company regarding profitability .............................................. 8 The return on asset data ............................................................................................................... 8 Liquidity ratio .............................................................................................................................. 8 Conclusions and Recommendations ................................................................................................ 9
Image of page 1

Subscribe to view the full document.

DEBENHAMS COMPANY 2 PART B .......................................................................................................................................... 10 Economic Theory ........................................................................................................................... 11 Social Psychology Theory ............................................................................................................. 11 Sociology Theory ........................................................................................................................... 11 Critical Theory ............................................................................................................................... 12 Appendix ........................................................................................................................................ 14 References ...................................................................................................................................... 16
Image of page 2
DEBENHAMS COMPANY 3 Introduction Debenhams is the United Kingdom’s largest operating company owning and operating nearly a hundred department stores primarily based in England. Operating in clothes and goods retailer, Debenhams has annual sales of approximately 13 billion pounds and is rated among the top five retailers in the country. Its foundation is dated back in 1778 when Debenhams was operating as an independent company until the 1980s when it was taken over by the Burton Group. However, Debenhams restored its independence in 1998 after being damaged by Burton Group’s ineffective leadership ( Kedia, 2015). Since then, Debenhams has been enjoying its freedom under the right leadership of a new chief executive. Debenhams Company involves in multi-channel operations and its brand trades in 27 countries with approximately 240 stores ( Dabija, et al.2014). It has two market segments: The United Kingdom segment which consists of stores and online sales. It also has an international segment which consists of international franchise stores, stores in Denmark and also online sales addresses which cover customers outside the United Kingdom. These stores provide customers with a wide range of services such as hairdressing and beauty treatments, restaurants and cafes, nail bars and wedding gifts, personal shopping assistance and other lines of products and services to online customers ( Bäder, 2015). Debenhams strategizes on market provisions by providing their customers with good quality products, timely delivery for the online shoppers, discount offers to its clients and the ability to change and modify their products on changes in the preferences and tastes of its clients (Fogarty, 2015). The main competitors of Debenhams Company are M & S and retail bell weather and other online service companies ( Hearn, 2016).
Image of page 3

Subscribe to view the full document.

DEBENHAMS COMPANY 4 Profitability Profitability remains the primary goal of every business. It’s defined as the company’s ability to yield a financial gain. It's measured through considering the incomes and expenses (Jones & Livingstone, 2015). It helps in determining the past, current and projected future profitability of the business. In the past years, Debenhams has reported several financial data illustrating their profitability measures. The following financial information shows their profitability indicators from the year 2011-2015 Profitability 2011 2012 2013 2014 2015 Tax rate % 25 20 15 18 18 Net margin % 5 5.3 5.6 5.5 4 Asset turnover 1.2 1.8 1.9 1.8 1.8 Return on assets 5.7 6.0 5.5 4.2 3.5 Return on equity 3.5 3.0 2.8 2.7 2.4 Profitability can be determined by considering the return on assets and return on equity.
Image of page 4
Image of page 5
  • Spring '15
  • Mr.Kim
  • Sociology, DEBENHAMS COMPANY

{[ snackBarMessage ]}

Get FREE access by uploading your study materials

Upload your study materials now and get free access to over 25 million documents.

Upload now for FREE access Or pay now for instant access
Christopher Reinemann
"Before using Course Hero my grade was at 78%. By the end of the semester my grade was at 90%. I could not have done it without all the class material I found."
— Christopher R., University of Rhode Island '15, Course Hero Intern

Ask a question for free

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern