CEO Bob Frost discusses the general financial health of the company.Anthony’s Orchard is a third-generation, family-owned orchard. We’ve been in business well over 60 years, having been established in the years following World War II. Throughout our history, the company has experienced periods of tremendous growth, as well as a few very lean years.
I think our longevity can be attributed to a number of factors. In agriculture, so much is dependent on production. We have always enjoyed a geographic advantage, as our orchards are located in some of the best regions in the world for growing apples.
However—and I think this is vitally important to note—we have never been satisfied to rely on that single advantage alone. Historically, our corporate culture has always been one of fostering innovation to support our inherent advantages. We have repeatedly shown a willingness to invest in technology aimed at improving the quality and volume of our products.
Since I joined the company in 1990, we have made it a priority to invest in technologies aimed at improving our growing practices. I think this practice has proven to be an invaluable tool in helping us address fluctuations in weather conditions, competition, and a variety of other threats to our market and our organization.
We are excited about our future, and have aggressive plans for it. Among these plans is expansion into a new product line. We hope to be producing and distributing Anthony’s Orchard apple juice within the next 3 to 5 years.
Ultimately, these and other strategic plans will depend on current and projected business conditions. We must remain mindful of cash flow, operating costs, and the threats associated with the natural environmental factors that affect our product line. We feel good about business conditions, but it is also very important to continually monitor those conditions and to consider them when developing and executing strategic plans.
ASSIGNMENT.
Review the readings and media for this unit, including the Anthony’s Orchard case study media.
Familiarise yourself with the Anthony’s Orchard company and its current situation; this can be done by exploring each of the tabs across the top of the screen in the Anthony’s Orchard case study media. Hint: You should focus on the financial information.
To complete this Individual Assignment:
Review the Financial Statements: Analyse the current financial state of Anthony’s Orchard and evaluate the impact of a major customer cancelling their expected order. This analysis should include the following:
Your view of the current financial health of the company
Your assessment of the materials and labor costs
Your assessment of the income statement
Your assessment of the cash flow statement
Your assessment of each of the business units in Anthony’s Orchard
C-V-P analysis of the current year’s financials
Conduct a What-If Analysis: This what-if analysis concerns an unforeseen circumstance that could impact the company’s current health as well as its future plans. A major customer is considering cancelling their order for prepared apple products. This customer accounts for 25% of the prepared apple product revenue. Evaluate the impact of this on the budgeted statements contained in the case study.
TAKE ADVANTAGE OF OUR PROMOTIONAL DISCOUNT DISPLAYED ON THE WEBSITE AND GET A DISCOUNT FOR YOUR PAPER NOW!