Process 10

Running Head: CASE STUDY PAPER 1

CASE STUDY PAPER 2

Financial Analysis – Case Study

D’Ainsley Smith

Grand Canyon University

June 27, 2018

you did a very nice job of researching and writing this paper. You followed the proper format and included all the required sections. There are many avenues that Purple Cloud could pursue to ensure it remains viable and competitive. The ones you proposed are both possible. There are a few mechanical issues. One is spacing—make sure you only double space. Do not add extra spaces between paragraphs and headings. The references must be presented in alphabetical order.

Financial Analysis – Case Study

Purple Cloud Company’s portfolio is restricting its current business operations. There is the need of advancing diversity, which is an essential process for embarking on improved and increased financial management. Considering the most common process of improving an organization’s portfolio is through diversifying business operations, the current environment is changing and the company must develop economical pricing strategies, which focus on improved software products for consumers.

Summary of Current Economic Environment

The current economic environment does not favor a company which has diversified its portfolio. The rise in technology has impacted a change in the software industry, and this is influenced by the changing market conditions. There has been an increased rate of unemployment since the last decade, which affects the ability to effectively maintain a normal rate in the financial community. This is also affecting the condition of the market and influencing the low retention level of the market with consumers. The drop in income is also a factor, because of rising interest rates (Aastveit, Ravazzolo, & Van Dijk, 2018). The Federal Reserve is becoming a factor, which can influence decreasing interest rates to reduce and promote financial affinity of the community by creating stable marketing conditions. Comment by Dr. Millier: Extra space between paragraphs and headings is being added. Double space only. This is an issue throughout the paper.

Summary of the business issue, emphasizing economic concerns Comment by Dr. Millier: Titles should have consistent formatting

Purple Cloud did not conform to changing conditions in the technology-based industry, which affected the organization’s ability to retain its market share and consumer base. There is a change in consumption, and this is affecting the ability of the Purple Cloud Company to fully be competitive and offer support to the changing technologies in the contemporary community. As a result, the company considered acquiring a new company in the community and with the potential for an ever changing ability to fully acquire a strong product, which can match needed business changes (Willenbrock, 2011). The strong product is an edge which can be used to retain and make the Purple Cloud Company as strong in the community and the market. Although in this case, five other competitors in the security software market that provide products half the price of Purple Cloud, create a direct impact the economic outlook of the company, because of the lack of product diversity.

Review of two viable potential resolutions, the supporting research and theory presented in Topic 2 assignment

There is the need for the company to consider portfolio diversification as a solution for the lack of competitiveness in the industry. Diversity assists the organizations focus on product development and quality management, and also an opportunity to pull investment resources from its stakeholders or shareholders. It is central to an opportunity for studying consumers, and properly understanding modern trends that deal with issues affecting performance and overall organizational growth (Aastveit, Ravazzolo, & Van Dijk, 2018). More importantly, the company should focus on its pricing strategies, and develop a resource focused on the growth of the company to meet the consumer demands, while addressing gaps in the market. The gap in the market is an opportunity to understand organizational failures, and properly orchestrate a direct plan of action to achieve success in the industry, while continuing to promote solutions that increase consumer retention.

Research-supported discussion of ethical implications

Ethical implications and conditions of the company are essential based on an organization’s operations. Ethics must be the process used for ensuring a company’s strategic plans, and strategic systems meet and improve financial and economic conditions of a company. More importantly, there is the need to use ethical considerations to ensure a company has logical solutions to overcome publicity issues. Ethical considerations create solutions based on an approach to overcome potential challenges affecting consumer preferences, and value generation (Aastveit, Ravazzolo, & Van Dijk, 2018). Employee retention is another essential opportunity created by the necessity and importance of gaining systematic processes and support effective leadership and motivation. An organizations transparent and accountable leadership establishes the bridge for successful strategic implementations and consumer retention. Therefore, ethics affect the performance of an organization, and this results into increased production and performance.

Ethical implications influenced by the mission, vision, and core values of Purple Cloud

The mission of the company is to focus on the quality of the product and services the organization offers. This is the company’s bottom-line and should be used to influence decisions and strategic objectives for the company. The vision of the company is to adopt cloud services and application-based systems (Aastveit, Ravazzolo, & Van Dijk, 2018). There is the need to develop and focus on the importance of leadership, and business functions to meet the cloud services applications industry demand. In the allocation, it is important and essential to focus on the needs, importance, and necessity for fully supporting business needs, and company expectations. Purple Cloud company values focus on honesty, teamwork, and value generation. The company’s ethical considerations offer and provide necessary expectations that support and improve the company’s long-term service and operations plan.

Recommendation for action chosen from potential resolutions

Diversifying the organization’s portfolio focuses on potential solutions to increase financial growth. The company should focus on developing new methods to increase financial resources that assist in meeting co-efficient growth. The company’s needs as a security software developer focuses on consumption and market trends, but this alone cannot help the company meet its business function needs (Aversa & Haefliger, 2017). The company must focus on product differentiation that meets consumer needs. This process covers a wide market platform and meets business objectives. Importantly, the Purple Cloud Company must develop a pricing differentiation strategy to improve consumer retention. This system will assist with meeting the company’s needs and focuses on structural performance, which supports value, resources, and effective needs for the consumer community.

Rationale for the chosen recommendation

The application of diversity assists the Purple Cloud Company with developing proper solutions to increase and improve the company’s performance in the industry, and generation of financials for short and long-term investments. Diversifying a company’s portfolio is necessary and this helps to influence and meet the needs of the company based on a hybrid method of management (Aversa & Haefliger, 2017). There are stock options, and this helps the organization increase consumer market share. There is also the need of focusing on better pricing strategies. Purple Cloud should seek necessary solutions to influence long-term financial retention. The pricing of the company’s products is a necessity to improve and meet effective financial resources.

How recommended solutions influence long-term organizational health

Diversification is an extensive process which takes time to mature into something an organization can use. For instance, the purchase of stock options, investing in other products rather than offering only a single product, and accepting extra investment opportunities. These are some potential ways for which diversity can be a process, and a means to an end. It is also essential in planning and increasing potential methods to meet and increase effective leadership for the company. Diversification considers methods by which an organization can be productive by focusing on current assets (Goetzmann, & Kumar, 2008), and investing in other products. The field of software planning is wide, and there is the need for ensuring productive performance. In this manner the company is in the process of engaging productive performance. Pricing is another way the company is able to keep its consumers, because pricing influences consumer preferences, and the quality of the products increases and improves the overall financial resource bottom line.

Future research conducted relative to the issue

There is the need to conduct future research especially with the impact of part time employees in developing a company’s process for implementing organizational diversity. Sometimes, the necessary processes to ensure diversity and support organizational safety is to increase, develop, and improve organizational performance. Employees form the core part of an organization. This is the process for meeting and processing the necessary resources, such as leadership, ownership, and value through productive marketing (Goetzmann, & Kumar, 2008). A company, such as Purple Cloud should focus on the value and importance of having a productive culture to increase organizational performance based on productive performance. Management should develop methods to remain updated on the industry’s trends and patterns, because this ensures the company’s financial performance does not become volatile.

Conclusion

In conclusion, diversification assists a company to focus on the importance of meeting overall and essential considerations in the modern community, based on the need and nature for ensuring effective processes. The allocation of resources is essential to meet and develop processes, such as increasing and improving retention of business. There is also the importance for focusing on organizational structuring to increase effectiveness in the market. Comment by Dr. Millier: Need to maintain a ragged right margin.

References Comment by Dr. Millier: References must be listed in alphabetical order.

Aastveit, K. A., Ravazzolo, F., & Van Dijk, H. K. (2018). Combined density nowcasting in an uncertain economic environment. Journal of Business & Economic Statistics, 36(1), 131-145.

Willenbrock, S. (2011). Diversification return, portfolio rebalancing, and the commodity return puzzle. Financial Analysts Journal, 67(4), 42-49.

Aversa, P., & Haefliger, S. (2017). Business Model Portfolio Diversification, . working paper, Cass Business School, London.

Goetzmann, W. N., & Kumar, A. (2008). Equity portfolio diversification. Review of Finance, 433-463.