Financial Reporting and Analysis IBM Assignment

Financial Reporting and Analysis IBM - Assignment Example The management of International Business Machines also decided to narrow down their advertising agencies to one. This minimized cost and maximized the resources of the company hence an effective advertisement which led to increase in sale of IBM products therefore increasing profits. The performance of the organization led to increase in price of shares which resulted to increase in return of equity and increase on number of investors (Garr, 2000). Revenue increased in the year nineteen ninety eight by four percent and declined in the following year by fifteen percent. Growth in revenue of a company indicates efficiency in marketing and advertisement strategies. It is also an indication of increase in market share of products of the firm (Hill & Jones, 2012). This can be caused by expansion in operations of the firm and diversification of its products. In the following year, there was a decline in revenue of the organization. The company reaching its maturity might have caused this and revenue started declining. In addition, the consumers of the company product might have changed preference for the product. This could be caused by an emergence of a similar product or reduction of price of the same product through rivals of the company. The decline in revenue could also be caused by changes in the economic conditions such as inflation. This would reduce sales which in turn force prices of goods up leading to decline in sales he nce decrease in revenue. Changes in technology could largely affect the revenue of the organization. The firm did not change to technology as expected by its customers hence led to decrease in revenue (Hill & Jones, 2012). Gross margins on the other hand are profits made after the company deducts all the costs or expenses made on sales which are referred to as gross sales. The gross margins have increased throughout the years for IBM Company as indicated in its

Litigation v. Mediation Essay Example | Topics and Well Written Essays - 500 words

Litigation v. Mediation - Essay Example f a lawsuit, case, or controversy – which is a contest authorized by the provisions of law, and at a court of justice – which is aimed at the realization or the pursuit of enforcing the breached rights or the expected parts of the deal in question. The participants in such a case are the plaintiff and the defendant – who within the subject of the lawsuit are referred to, as the litigants. Mediation on the other hand, is an ‘alternative dispute resolution’ model, which is used to complement or substitute other modes – as a way of assisting the disputants reach an agreement, through the creation of improved dialogue between them. In such a case, the parties involved are to consider the mediation process – as resolving the dispute to their mutual advantage – besides facilitation by an impartial mediator. Considering that the dispute is of a business nature, it is conclusive that the right or the duty to be enforced must have some financial value – as well as a time-span within which its value may be perceived. Therefore, in the case the legal pursuit is to extend to the level – which the value of the legal practice or pursuit exceeds the value of the breached agreement; then from a business perspective, the pursuit will not be logical or rational. On the basis of this argument, mediation as opposed to litigation is a better option; as it will require less time and cost incurrence. The advantages that Alexander is likely to enjoy, in the case he chooses to take mediation instead of litigation include the following: A timely resolution of the dispute, which is basically – because the neutral and experienced third-party will push for increased dialogue between the disputants, from which better understanding of the dispute premises will be established, therefore making the case easier to resolve. In this regard, the better understanding as well as the pursuit for voluntary agreement and mutual advantage will enable the disputants to arrive at