Nordstrom investment plan

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nordstrom_investment_plan.docx

Prompt: You have already chosen the company(Nordstrom Inc.) you will use for your final project, and you have started a narrative description of your expansion project into another country. In this milestone, you will build on that narrative description providing sufficient detail about the expansion, its costs, and its time frame to give a loan committee a firm sense of the proposed investment. You will also analyze the impact of the investment proposal on your business by explaining why now is the right time for this investment given the global context and by explaining how the investment is a good strategic fit with your company. This milestone addresses all of Section II and Section III (Parts A and B only) of the final project.

Specifically, the following critical elements must be addressed:

II. Investment Project: Use this section to describe the investment for which you are seeking funding, its costs, and time frame. Specifically, you should:

A. Describe the investment project. Be sure to provide sufficient detail to give the loan committee a firm sense of the parameters of the activity, the need for it, and what financial metrics are relevant for determining success. In other words, what do you propose to do, where, what marketplace 
need will it fill, and how will you measure success? 


B. Specify the resources the project will require and where these resources will come from. In addition to noting the amount of the loan you are 
requesting, you should also consider human resources, facilities, government approvals, intellectual property, access to natural resources, and other 
resources that might be required to carry out the project. 


C. Time frame. When will the project start, what is the anticipated economic life of the proposed expansion, and how will you decide if, when, or how 
to exit? Justify your choices with appropriate financial metrics. 


III. Justification: In this section, you should analyze the impact of the investment proposal on your business. In particular, you should cover: 


A. Why is now a good time for this investment given the global context? Justify your response, citing specific external factors such as trade regulations, foreign currency considerations, or trends in foreign direct investment that might affect business financial decisions. 


B. Strategic fit. Use this section to discuss why the investment proposal makes sense for your company strategically. Specifically:

1. How does the investment align with the company’s organizational and financial priorities? Support your argument with evidence from 
company reports and financial statement analysis designed to persuade the lender that the investment is a good strategic fit for your 
company. 


2. How does the project fit within the global microeconomic environment? Support your response with evidence. For example, would the 
expansion tap unmet demand for the company’s key products or services or fill a new niche? How do you know? 


3. How does the project build on the organization’s core competencies and comparative advantage? For example, does the company have a 
strategic advantage from intellectual property, regional expertise, suppliers, or organizational structure? 


Critical Elements

Proficient (100%)

Needs Improvement (75%)

Not Evident (0%)

Value

Investment Project: Describe

Describes investment project, providing sufficient detail to give a firm sense of the parameters of activity, market need, and relevant financial metrics for determining success

Describes investment project, but description lacks detail, contains inaccuracies, or omits key information on parameters, market need, and relevant financial metrics for determining success

Does not describe investment project

13

Investment Project: Resources

Specifies resources required, including amount of loan and other physical and financial resources, along with where resources will come from

Specifies resources required, including amount of loan requested, other physical and financial resources, and where resources will come from, but response contains inaccuracies or omits key details

Does not specify resources required

13

Investment Project: Time Frame

Determines when project will start, anticipated economic life, and exit process, justifying choices with appropriate financial metrics

Determines when project will start, anticipated economic life, and exit process, justifying choices with financial metrics, but response contains inaccuracies, omits key details, or financial metrics are not appropriate

Does not determine when project will start, anticipated economic life, and exit process

13

Justification: Why Now

Evaluates why now is a good time for this investment in the global context, citing specific external factors that might affect business financial decisions in justifying response

Evaluates why now is a good time for this investment in the global context, citing specific external factors, but response contains inaccuracies, omits key details, or links to business financial decisions are tenuous

Does not evaluate why now is a good time for this investment in the global context, citing specific external factors that might affect business financial decisions in justifying response

13

Justification: Strategic Fit: Priorities

Persuasively argues how the investment aligns with the company’s organizational and financial priorities, supported by evidence from company reports and financial statement analysis

Argues how the investment aligns with the company’s organizational and financial priorities, supported by evidence, but argument is cursory, illogical, contains inaccuracies, or is poorly supported by evidence and sound financial analysis

Does not argue how the investment aligns with the company’s organizational and financial priorities

13

Justification:

Strategic Fit: Microeconomic

Assesses how the project fits within the global microeconomic environment, supported by evidence

Assesses how the project fits within the global microeconomic environment, supported by evidence, but response is cursory, poorly supported, contains inaccuracies, or links between microeconomic factors and project are tenuous

Does not assess how the project fits within the global microeconomic environment

13

Justification: Strategic Fit: Comparative Advantage

Evaluates how project builds on organization’s core competencies and comparative advantage in explaining why the project makes sense strategically

Evaluates how project builds on organization’s core competencies and comparative advantage in explaining why the project makes sense, but response is cursory, contains inaccuracies, or is only tangentially related to strategic fit

Does not evaluate how project builds on organization’s core competencies and comparative advantage in explaining why the project makes sense strategically

13

Articulation of Response

Submission has no major errors related to citations, grammar, spelling, syntax, or organization

Submission has major errors related to citations, grammar, spelling, syntax, or organization that negatively impact readability and articulation of main ideas

Submission has critical errors related to citations, grammar, spelling, syntax, or organization that prevent understanding of ideas

9

Total

100%