Assessing The Goal Of Sports Products, Inc.

895 words - 4 pages

tonUniversity of Phoenix-Online Assessing the Goal of Sports Products, IncIn the past 9 months, the Shareholders of Sports Products, Inc. have lost $2.00 per share in the value of their stocks. State and Federal Environmental Officials are suing Sports Products for the dumping of pollutants from their boating equipment and accessory products. The company gossip is that managers are trying to increase their income through profits. The concern is that stockholders are losing money because of the declining value in the company's shares. The intent of this paper is to explore Sports Products, Inc. circumstances, evaluate the apparent company's problems, and express possible recommendations for improving the company's stock prices. The circumstances, which include stock prices decreasing while profits are increasing indicate there is a possible agency problem where management is misdirecting their powers of running the company's affairs.It seems as if Sports Products, Inc. management has ignored their intended goal of pursuing the interest of shareholders and began greedily increasing their paychecks by allowing pollutants to be dumped into an adjacent stream instead of paying the required hazardous waste disposal costs for environmental products. As a result, the state and federal environmental suit against the company the shareholders have evaluated the environmental circumstances and the firm's owners believe the ethical approach in controlling the pollution issue is to incur the expense of remediation. Although, the cost of remediation is expensive and will undoubtedly affect the company's profits. This executive decision is in the best interest of the company owners because the loss of company profits does not affect the owners directly and the company has an opportunity to restore their reputation, which, most likely will result in the quality of company stocks and increase value once again. The firm's corporate governmental structure may have had a part to do with the breakdown of their manager's investment decisions for ignoring the decline in stock prices and focusing on company profits alone.Corporate Governances, a process or law by which businesses are operated, regulated, and controlled, (searchfinancialsecurity.com) is a basic understanding of what Sports Products, Inc. may have been lacking in their firm. It seems as if the company owners were not meeting on a regular basis. It is also possible the company responsibilities were not sufficiently dispersed between each owner, which may have resulted in a breakdown of effective remuneration for company management. The possibility that managers were mistreated or did not feel adequately compensated for the managerial decisions they have to make could be why they chose to focus on company profits instead of the value of shareholder stocks. If managers feel insecure in their jobs...

Find Another Essay On Assessing the Goal of Sports Products, Inc.

The Goal of Standards Organizations Essay

697 words - 3 pages The goal of standards organizations is to enhance both the global competitiveness of U.S. business and the U.S. quality of life by promoting and facilitating voluntary consensus standards and conformity assessment systems, and safeguarding their integrityThe American National Standards Institute (ANSI) has served in its capacity as administrator and coordinator of the United States private sector voluntary standardization system for more than 80

The Power of Goal Setting Essay

625 words - 3 pages The Power of Goal Setting Too many of us treat goal setting the same way. We dream about what we want to do, but we don't have a plan to carry out that dream. A mapped out goal is superior to a dream. You must have a plan. Dreams are merely thoughts or ideas, but, we need more than to simply scribble down some ideas on a piece of paper. Our goals need to be concise and focused. We must set both long-term and short-term goals, so for each

The Ultimate Goal of Hinduism

2214 words - 9 pages teachings vary and are based off of many different philosophies and holy books. Hinduism is a polytheistic religion. The religion carries a various amount of beliefs, which only some may be practiced. With the large number of teachings, holy books, and beliefs, Hinduism is seen as a way of life rather than a religion (BBC, 2009a). As mentioned above, Hinduism is a way of life rather than a religion. Hinduism is a guide to life, with an ultimate goal

The Goal of College Attendance

1267 words - 5 pages In previous times it has been thought, by some, that with a college degree a person could have any job and would be very successful. In Colonial America, colleges were mainly founded by the wealthy. The goal of college at this time was to “produce Christian gentlemen who would inherit their family business” (Thelin). After a “college boom” so many state colleges were built and some became co-ed, adding “special” courses for women. The goal of

The Importance of Goal Setting

889 words - 4 pages requires an effective leader to set goals. The goals must be complex but reachable, precise, allow for assessment, and allow for contributions from all participants (Clark, 2004). In the Disney Land example, the goal of finding specific landmarks is complex in that it requires the child to look and pay attention. It is reachable in that it is known the landmark does exist along the route. It allows for assessment as it can be determined if a

The makeover of Avon Products, Inc headed by CEO Andrea Jung greatly transformed the company in all aspects and who benefited from the change.

1091 words - 4 pages The makeover of Avon Products, Inc headed by CEO Andrea Jung greatly transformed the company in all aspects - the stakeholders, whether they are customers, employees or shareholders have undeniably benefited from the change. The analysis in this paper will closely examine Andrea Jung's actions taken in the past few years.Under Jung, Avon's vision statement read: "Our vision is to be the company that best understands and satisfies the product

The Consumption of Tobacco Products

1413 words - 6 pages man would ride horseback across the screen in commercials between movie segments. This has now become passé. Public facilities have now set rules against smoking in many establishments, and tobacco commercials have long been banned from public television. Over the past 50 years extensive research has shown the adverse effects of tobacco products, proving unfavorable health risks for the general population, environment destruction and major

The great gatsby a goal of cor

1051 words - 4 pages A Goal of Corruption Wealth, assets, and attaining a superior net worth are the dreams and fantasies of many Americans. The goal to have a better life is pure in essence, but, for those with weak wills and simple minds, this goal can twist their morals and values from a fair-skinned maiden to a withered screeching harpy. F. Scott Fitzgerald's The Great Gatsby is a contemporary novel published in 1925. Fitzgerald shows that material

The Path Goal Theory of Leadership

2680 words - 11 pages The term path-goal is derived from the belief that effective leaders clarify the path to help their followers get from where they are to the achievement of their work goals and make the journey along the path easier by reducing roadblocks and pitfalls (Robbins 2001, p. 229).The path-goal theory developed by Robert House is based on the expectancy theory of motivation. The leader's job is viewed as coaching or guiding workers to choose the best

The Advantages of Proprietary Products Over Open Source Products

1498 words - 6 pages likely to purchase additional Sony products in the future); pricing – companies could possibly charge a premium price for their proprietary products as there could be few to no competitors in a specific market space; vertical markets (if Sony is providing the device, memory card and music the majority of revenues are staying in-house); and proprietary products could potentially create barriers to entry. I think a benefit to the proprietary

Assessing the Role of Education From the Functionalist Perspective

1240 words - 5 pages Assessing the Role of Education From the Functionalist Perspective Functionalists believe that education performs very important roles for individuals, the economy and the wider social structure. It provides secondary socialisation, passing on shared culture enables individuals to develop their potential and regulates their behaviour. Functionalists argue that education has three broad; socialisation where

Similar Essays

Assessing The Goal Of Sports Products, Inc.

1121 words - 4 pages Running head: TEXT CASE STUDY 1 TEXT CASE STUDY PAGE \* Arabic \* MERGEFORMAT 2 Assessing the Goal of Sports Products, Inc.FIN/419: Finance for Decision MakersAssessing the Goal of Sports Products, Inc.Many people believe that the primary objective of a firm is to maximize profits. Sports Products, Inc. is a firm who has followed this practice during its 20 year history. The management of Sports Products, Inc. has concentrated on maximizing

Assessing The Goal Of Sports Products, Inc.

719 words - 3 pages Sports Products, Inc. is a key manufacturer of boating equipment and boating accessories. During the past nine months, Sports Products, Inc. has had stock prices decline almost $2 per share, in spite of a rise in profits. The concern of stockholders is that profits are important to management because increased profits increase their income, since they are compensated on the basis of the company's profits, through a profit sharing plan

Managing Change Of Avon Products Inc.

3851 words - 15 pages Table of Contents1.Avon Products Inc.12.Leadership Behaviors and Skills22.1Transformational Leadership22.2Leadership Skills32.2.1 @Having a Vision32.2.2 @Communicate their Vision32.2.3 @Build Trust42.2.4 @Positive Self-regard43.Change in Avon43.1Leading Change43.1.1 @Establishing a Sense of Urgency53.1.2 @Creating the Guiding coalition63.1.3Developing a Vision and Strategy63.1.4 @Communicating the Change Vision73.1.5 @Empowering broad-based

The Piedra Systems Inc. And Its Products Design Strategy

3820 words - 15 pages with strong market orientation are more than five times as successful as poorly differentiated products with only minor added value.Figure 1. Success Factors in New Product Development.This strengthens the fact that Piedra Systems Inc. should really know its target market first before even identifying and satisfying the needs of their customers.Targeting the market segment starts from dividing the market into several segments via economic