Hi,
I have these 8 slides. you have to look at the Data sheet and the examples I uploaded. you have to do my slides like the example but use my graph and my date sheet
>Data
Employees
Reported Quality Revenues ($ M/year) Load Factor Breakeven Load Factor Aircraft Aircraft Acquisitions Passengers Carried Load Factor Total Employees Hiring Employee Turnover Employee Turnover 00 Rev Pass Miles/Year/Employee)
Revenues ($ M/year) Fleet costs Service Marketing Net income before financing
Peoples Fare Average Competitor Fare Reported Service Quality Passenger growth (%/year) Market Share (Fraction) Marketing Average Competitor Fare of Firm ($ Million)
0 hours
strategic minimum
Net Cash Flow Assets Debt Equity Cost
of Capital
Leverage Ratio TIE Ratio Service Scope Price /Quarter (not RoA)
0 0 0 9 9 1 .3 . 0. 4 3 0 3
359 165 9 9 0 6
79
1 .5
32.3 16.5 3.2 2.3 1.9 1.5 0 6
1 0 0.002 3.2 1 8
0.1 4 0 7.5 55 0.1 4 2 3.4 0 0 3.4 29.5 7.7 2.3 0 0 0 3 0 7
0.1 0.16 6
30 9 0.002 9
.2
4 3 0 6 369 0.53 16.5 186 5
30 9 21 0.05 84
4 29.5 33.2 16.5 6.9 1.7 2.3 .3
1.9 4 0 0.1 0.16 0.99 0 0.002 1.7 0.16 1 0.7 4 7.5 0 7.5 55 40 0.1 0.05 4
4 4
2 1.00 6 29.5 21.4 8.1 2.3 0 2 0 0 0 0 0 0 4 1 5
0.16 3
13 2.3 0.002 45.3 4
0.29 4 1 4
394 0.43 16.5 243 70 13 57 0.05 5
1
0.94 .4
45.3 16.5 2.3 2.1 1.8 14.7 40 .4
0.115 0.16 0.9 0.94 27.31 0.002 2.3 0.16 1 0.7 3
1 .5
55 40 0.43 0.1 0.05 4
4 2 1.00 16.5 9.9
33 39.1 25.8 2.1 0 2 0 0 0 0 0 0
5 1 0.37 9
32 0.002 56.2 40 0.37 0.27 5 1 432 0.37 300 90 32 0.11 0.83 .5
56.2 22 2.8 16.1 40 1.4
0.13 0.83 38.97 0.002 2.8 0.159 1 0.7 1
4.7 41 55 40 1.16 0.1 0.05 4 9
2 1.00 – 37 48.5 29.8 18.6 2.6 0 2 0 0 0 0 0 6
5 0 0.41 0.159 69 90 3.3 0.002 16.1 65.5 .9
0.41 0.31 5 0 1155 468 0.41 344 90 46 44 0.13 65.5 27.5 3.3 3 3 16.1 0 0.14 0.159 0.71 33.36 0.002 3.3 0.159 1 0.7 4.56 8.7 52 55 40 0.29 7
0.1 0.05 4 2 1.00 19.1 0.1 19 47.7 26.2 21.5 3 0 2 0 0 0 0 0 0 6 1 0.14 0.159 70 54 3.4 0.002 .9
67.9 0.35 0.26 6 1 485 0.35 27.5 0 0.41 130 54 0.13 57 30 27 67.9 27.5 3.4 2.6 48 3 16.9 40 0.14 0.159 0.99 0.63 14.26 0.002 3.4 0.159 1 0.7 0.89 40 55 40 0.29 0.1 0.05 4 2 1.00 0
57 30 27 2.6 0 2 0 0 0 0 0 .67
3
7 1 0.27 0.14 0.159 68 63 3.6 71.3 0.32 0.27 7 1 509 0.32 33 477 0.3 120 63 57 0.13 9
0.61 .9
71.3 33 3.6 3 3.6 10.5 40 0.14 0.159 0.99 0.61 20.33 0.003 3.6 0.159 1 0.7 0.53 17 61 55 40 0.19 0.1 0.05 4 2 1.00 -40 .2
66.1 34.9 31.2 3 0 2 0 0 0 0 0 7 0 0.33 0.31 0.14 0.159 67 65 0.003 0.61 .5
4.6 74.5 0.33 0.31 7 0 532 0.33 469 0.26 65 72 0.15 3
0.61 65 33.2 74.5 38.5 20 3.7 3.5 65.7 4.1 4.6 0 8.7 0.14 0.159 1 0.61 17.61 0.003 3.7 0.159 1 0.7 5.01 55 40 8.1 0.12 0.11 0.1 0.05 4 2 1.00 8.7 0 8.7 65 33.2 31.8 3.5 0 2 0 0 0 0 0 0 7 0 0.35 0.31 0.14 0.159 66 65 70 0.003 .4
8.9 78.4 .5
0.35 0.31 7 0 1617 560 0.35 38.5 464 65 70 0.15 0.64 64 33.2 78.4 38.5 3.9 3.3 65.5 4.1 8.9 0 13 0.14 0.159 1 0.64 21.28 0.003 3.9 0.159 1 0.7 0.44 5.01 55 40 0.19 0.16 0.1 0.05 4 2 1.00 13 0 13 26 64 30.8 33.2 3.3 0 2 0 0 0 0 0 0 7 0 0.31 0.14 0.159 67 65 64 4.1 0.003 .4
82.4 0.36 0.31 7 0 1617 589 0.36 38.5 466 0.23 65 64 1 0.14 0.68 63 82.4 38.5 19.5 4.1 3.1 4 13.2 0 0.14 0.159 1 0.68 20.37 0.003 4.1 0.159 1 0.7 5.01 23 .3
55 40 0.26 0.20 0.1 0.05 4 2 1.00 17.2 0 17.2 63 27.6 35.5 3.1 0 2 0 0 0 0 0 0 7 0 0.31 0.14 0.159 68 65 55 4.3 0.003 86.6 .5
0.38 0.31 7 0 1617 619 0.38 38.5 476 65 55 10 0.12 50.84 0.73 62 38.5 86.6 38.5 19.6 4.3 2.8 3.9 17.5 0 21.5 0.14 0.159 1 0.73 20.46 0.003 4.3 0.159 1 0.7 0.88 5.01 55 40 20.3 0.33 0.23 0.1 0.05 4 2 1.00 21.4 0.1 62 23.5 38.5 2.8 0 2 0 0 0 0 0 0 7 0 0.4 0.31 0.14 0.159 493 70 65 48 4.6 0.003 .1
91.1 0.4 0.31 7 0 1617 650 0.4 38.5 493 0.19 65 48 17 0.1 0.77 18.7 91.1 38.5 20 4.6 2.4 3.9 21.8 0 0.14 0.159 1 0.77 20.52 0.003 4.6 0.159 1 0.7 1.09 5.01 55 40 0.40 0.27 0.1 0.05 1.44 4 2 1.00 25.7 0 25.7 61.1 18.7 42.3 2.4 0 2 0 0 0 0 0 0 7 0 0.42 0.31 0.14 0.159 71 50 46 4.7 0.003 0.8 94.9 0.42 0.31 7 0 1617 678 0.42 38.5 497 50 46 4 0.09 0.8 13.3 94.9 38.5 20.7 4.7 1.9 3.8 25.3 0 0.14 0.159 1 0.8 16.94 0.003 4.7 0.159 1 0.7 8
5.01 55 40 0.29 0.1 0.05 1.28 4 2 1.00 29.1 0 29.1 60.1 13.3 46.8 1.9 0 2 0 0 0 0 0 0 7 0 0.44 0.31 0.14 71 45 46 5 0.003 99 99 0.44 0.31 7 0 1617 707 0.44 38.5 495 0.16 45 46 0.09 0.82 7 99 38.5 5 1.3 3.8 29.6 0 0.14 0.158 1 0.82 17.22 0.003 5 0.158 1 0.7 1
5.01 55 40 0.52 0.31 0.1 0.05 1.13 4 7
2 1.00 33.4 0 33.4 59.2 7 52.2 1.3 0 2 0 0 0 0 0 0 7 0 0.46 0.3 0.14 0.158 495 71 45 46 5.2 0.003 0.84 34.4 103.2 0.46 0.3 7 0 1617 737 0.46 38.5 495 45 46 -1 0.09 0.84 58.2 -0.1 58.4 103.2 38.5 5.2 0.7 3.7 34.4 0 0.14 0.158 1 0.84 17.05 0.003 5.2 0.158 1 0.7 8
5.01 49.8 55 40 0.34 1.77 0.1 0.05 1.00 4 2 1.00 38.1 0 38.1 58.4 0 58.4 0.7 0 2 0 0 0 0 0 0 16.5 7 0 0.47 0.3 0.14 0.158 64 0 46 5.4 0.003 0.84 107.5 0.47 0.3 7 0 1617 768 0.47 38.5 449 0 46 0.1 0.84 57.3 65.5 107.5 38.5 20.8 5.4 0 3.6 39.2 0 42.8 0.14 0.158 1 0.84 16.5 0.003 5.4 0.158 1 0.7 5.01 58.4 55 40 39.2 0.68 0.36 1.88 0.1 0.05 4 .00
2 1.00 42.8 0 42.8 65.5 0 65.5 0 0 2 0 0 0 0 0 0 7 0 0.29 0.14 0.158 58 0 42 5.6 0.82 111.7 66.1 0.49 0.29 7 0 1617 798 0.49 38.5 407 0.15 0 42 0.1 5
0.82 56.4 .4
73.8 111.7 38.5 5.6 3.6 45.6 0 0.14 0.158 1 0.82 15.68 0.004 5.6 0.158 1 0.7 5.01 55 40 46 0.82 0.41 0.1 0.05 4 2 1.00 49.2 0 49.2 73.8 0 73.8 0 0.4 2 0 0 0 0 0 0 7 0 0.51 0.14 0.158 61 60 39 5.8 0.004 0.78 115.8 64 0.51 0.28 7 0 1617 827 0.51 38.5 428 0.33 60 39 21 0.09 0.78 55.6 115.8 38.5 5.8 3.5 51.7 0 0.14 0.158 1 0.78 14.59 0.004 5.8 0.158 1 0.7 6
5.01 55 40 0.95 0.45 0.1 0.05 4 100.00 2 1.00 0.1 83.3 0 83.3 0 0.9 2 0 0 0 0 0 0 10 3 0.37 0.2 0.14 0.158 54 42 6 0.004 0.73 55 119.6 0.37 0.2 10 3 854 0.37 38.5 536 0.4 150 42 0.08 0.73 119.6 38.5 18 6 61.1 3.5 55 120 0.14 0.158 1 0.73 13.13 0.004 6 0.158 1 0.7 2.7 5.1 55 40 56.4 0.67 0.47 0.1 0.05 0.84 4 100.00 2 1.00 100.9 0 100.9 0 1.4 2 0 0 0 0 0 120 13 3 0.31 0.24 0.13 0.158 53 53 12.2 0.004 .2
28 122.2 0.31 0.24 13 3 940 0.31 55 683 0.36 200 53 0.08 0.69 0 122.2 55 12.2 5.3 28 120 0.13 0.158 1 0.69 40.3 0.004 12.2 0.158 1 0.7 1.31 55 40 0.25 0.24 1.08 0.1 0.05 1.00 4 100.00 2 1.00 33.3 -120 113.4 0 113.3 0 0.8 2 0 0 0 0 0 13 0 0.35 0.31 0.13 60 75 0.004 0.66 135.2 0.35 0.31 13 0 3003 1040 0.35 782 0.24 75 100 0.1 0.66 -4 135.2 71.5 13.5 0 7.1 14.4 0 21.5 0.13 0.157 1 0.66 42.49 0.004 13.5 0.157 1 0.7 0.67 5.34 113.3 113.3 55 40 14.4 0.13 0.11 1.21 0.1 0.05 4 100.00 2 1.00 21.5 0 21.5 43 115.6 0 115.6 0 0 2 0 0 0 0 0 0 13 0 0.39 0.32 0.13 0.157 60 75 78 0.65 26.2 152.6 0.39 0.32 13 0 3003 1174 0.39 71.5 779 0.19 75 78 -3 0.1 0.65 152.6 71.5 15.3 7 26.2 0 33.2 0.13 0.157 1 0.65 51.49 0.005 15.3 0.157 1 0.7 1.23 5.34 55 40 26.4 0.24 0.17 0.1 0.05 4 100.00 2 1.00 33.2 0 33.2 120.1 0 120.1 0 0.2 2 0 0 0 0 0 0 13 0 0.43 0.33 0.13 0.157 60 75 78 0.005 0.65 39.3 166.5 .2
0.43 0.33 13 0 3003 1281 0.43 71.5 776 0.17 75 78 -3 0.1 0.65 127 166.5 71.5 16.7 6.9 39.3 0 0.13 0.157 1 0.65 36.5 0.005 16.7 0.157 1 0.7 5.34 55 40 39.8 0.37 0.24 0.1 0.05 0.85 4 100.00 2 1.00 46.2 0 46.2 127 0 127 0 0.5 2 0 0 0 0 0 0 13 0 0.46 0.33 0.13 60 75 78 0.64 179.3 0.46 0.33 13 0 3003 1379 0.46 71.5 774 0.17 75 78 -3 0.1 0.64 179.3 71.5 17.9 -0.9 .1
6.8 51.5 0 58.2 0.13 0.156 1 0.64 30.72 0.006 17.9 0.156 1 0.7 5.34 55 40 0.49 0.29 0.1 0.05 0.78 4 100.00 2 1.00 -0.1 58.4 136.2 0 136.2 0 0.9 2 0 0 0 0 0 0 27.4 13 0 0.49 0.33 0.13 0.156 59 75 77 19.2 0.006 0.63 63.3 191.6 0.49 0.33 13 0 3003 1474 0.49 71.5 771 0.22 75 77 -2 0.1 0.63 191.6 71.5 19.2 6.7 63.3 0 69.9 0.13 0.156 1 0.63 27.4 0.006 19.2 0.156 1 0.7 5.34 55 40 0.34 0.1 0.05 0.71 4 100.00 2 1.00 70 -0.1 147.7 0 147.7 0 1.5 2 0 0 0 0 0 0 13 0 0.52 0.33 0.13 63 130 77 20.3 0.006 0.61 202.9 0.52 0.33 13 0 3003 1561 0.52 71.5 824 0.23 130 77 53 0.09 0.61 202.9 71.5 20.3 122 6.5 74.3 0 0.13 0.155 1 0.61 23.59 0.006 20.3 0.155 1 0.7 5.34 162 55 40 0.38 0.1 0.05 0.64 4 100.00 2 1.00 0.1 161.2 0 161.2 0 2.1 2 0 0 0 0 0 0 13 0 0.34 0.13 0.155 67 130 82 21.3 .8
212.8 0.55 0.34 13 0 3003 1637 0.55 71.5 872 0.2 130 82 48 0.09 0.59 212.8 71.5 34.6 21.3 6.4 81.8 0 0.13 0.155 1 0.59 19.47 0.007 21.3 0.155 1 0.7 3.83 5.34 55 40 84.7 0.83 0.40 0.1 0.05 4 100.00 2 1.00 0.1 176.1 0 176.1 0 2.9 2 0 0 0 0 0 0 13 0 0.34 0.13 68 100 87 22 0.007 0.58 87 219.7 0.56 0.34 13 0 3003 1690 0.56 71.5 885 0.19 100 87 13 0.1 0.58 219.7 71.5 22 6.3 87 0 0.13 0.154 1 0.58 12.93 0.007 22 0.154 1 0.7 5.34 55 40 0.41 0.1 0.05 0.52 4 100.00 2 1.00 93.3 0 93.3 192 0 192 0 3.7 2 0 0 0 0 0 0 13 0 0.57 0.34 0.13 0.154 69 100 88 0.007 0.58 224 132.7 1020.7 0.57 0.34 13 0 3003 1723 0.57 71.5 896 0.19 100 88 12 0.1 0.58 98.4 224 71.5 22.4 6.2 91.3 0 0.13 0.154 1 0.58 7.85 0.007 22.4 0.154 1 0.7 5.34 55 40 0.97 0.43 2.28 0.1 0.05 0.47 4 100.00 2 1.00 97.5 0 97.5 208.8 0 208.8 0 4.6 2 0 0 0 0 0 0 5.7 13 0 0.58 0.34 0.13 70 100 90 22.7 0.007 0.58 94.7 227.2 0.58 0.34 13 0 3003 1747 0.58 71.5 907 0.18 100 90 10 0.1 0.58 .3
227.2 71.5 37.6 22.7 126.3 6.1 94.7 0 0.13 0.153 1 0.58 5.7 0.007 22.7 0.153 1 0.7 5.34 55 40 0.44 0.1 0.05 0.43 4 100.00 2 1.00 100.8 0 100.8 226.1 0 226.1 0 5.5 2 0 0 0 0 0 0 13 0 0.59 0.34 0.13 0.153 70 100 91 23 0.007 0.58 97.5 229.6 0.59 0.34 13 0 3003 1766 0.59 71.5 916 0.18 100 91 9 0.1 0.58 229.6 71.5 38.1 23 6.1 97.5 0 0.13 0.153 1 0.58 4.38 0.007 23 0.153 1 0.7 4.56 5.34 55 40 104 1.09 0.45 2.41 0.1 0.05 0.39 4 100.00 2 1.00 103.6 0 103.6 244 0 244 0 6.5 2 0 0 0 0 0 0 13 0 0.59 0.34 0.13 71 100 92 0.007 0.59 100 231.7 0.59 0.34 13 0 3003 1782 0.59 71.5 924 0.18 100 92 8 0.1 1928 0.59 231.7 71.5 38.5 23.2 6 100 0 106 0.13 0.152 1 0.59 3.51 0.007 23.2 0.152 1 0.7 5.34 55 40 0.46 0.1 0.05 0.36 4 100.00 2 1.00 106 0 106 212 262.4 0 262.4 0 7.4 2 0 0 0 0 0 0 13 0 0.6 0.34 0.13 0.152 932 72 100 92 0.007 0.59 233.4 0.6 0.34 13 0 3003 1795 0.6 71.5 932 0.18 100 92 8 0.1 0.59 92.4 233.4 71.5 23.3 5.9 102.3 0 108.1 0.13 0.152 1 0.59 2.92 0.007 23.3 0.152 1 0.7 5.34 55 40 0.47 0.1 0.05 0.33 4 100.00 2 1.00 -0.1 281.2 0 281.2 0 8.4 2 0 0 0 0 0 0 13 0 0.6 0.33 0.13 0.152 72 100 93 23.5 0.007 0.59 234.8 0.6 0.33 13 0 3003 1806 0.6 71.5 939 0.18 100 93 7 0.1 0.59 300.4 234.8 71.5 39.1 23.5 5.8 104.3 0 0.13 0.152 1 0.59 2.48 0.007 23.5 0.152 1 0.7 5.34 55 40 113.7 2.58 0.1 0.05 4 100.00 2 1.00 110.1 0 110.1 300.4 0 300.4 0 9.4 2 0 0 0 0 0 0 2.11 13 0 0.6 0.33 0.13 73 100 94 0.007 0.6 106.3 236 0.6 0.33 13 0 3003 1816 0.6 71.5 945 0.18 100 94 6 0.1 0.6 236 71.5 23.6 5.7 106.3 0 0.13 0.151 1 0.6 2.11 0.007 23.6 0.151 1 0.7 5.34 55 40 1.31 0.49 0.1 0.05 0.28 4 100.00 2 1.00 112 0 112 224 320 0 320 0 10.5 2 0 0 0 0 0 0 1.77 13 0 0.61 0.33 0.13 0.151 73 100 94 23.7 0.007 0.6 108.1 237.1 129 0.61 0.33 13 0 3003 1824 0.61 71.5 950 0.17 100 94 6 0.1 0.6 88.1 237.1 71.5 23.7 5.6 108.1 0 113.7 0.13 0.151 1 0.6 1.77 0.007 23.7 0.151 1 0.7 5.34 55 40 119.6 0.1 0.05 0.26 4 100.00 2 1.00 113.7 0 113.7 339.9 0 339.9 0 11.5 2 0 0 0 0 0 0 13 0 0.61 0.33 0.13 0.15 73 100 95 0.007 0.6 238 0.61 0.33 13 0 3003 1830 0.61 71.5 955 0.17 100 95 5 0.1 0.6 86.7 238 71.5 39.9 23.8 5.5 109.8 0 0.13 0.15 1 0.6 1.47 0.007 23.8 0.15 1 0.7 5.34 55 40 1.41 0.51 0.1 0.05 0.24 4 100.00 2 1.00 115.3 0 115.3 360.2 0 360.2 0 12.6 2 0 0 0 0 0 0 13 0 0.61 0.33 0.13 0.15 74 100 96 23.9 0.007 0.6 238.7 0.61 0.33 13 0 3003 1836 0.61 71.5 960 0.17 100 96 4 0.1 0.6 238.7 71.5 23.9 5.4 111.4 0 116.9 0.13 0.15 1 0.6 1.22 0.007 23.9 0.15 1 0.7 5.34 55 40 0.52 0.1 0.05 0.22 4 100.00 2 1.00 116.8 0.1 380.7 0 380.7 0 13.7 2 0 0 0 0 0 0 0.97 13 0 0.61 0.32 0.13 0.15 74 100 96 23.9 0.007 0.6 113 239.3 126.3 .6
0.61 0.32 13 0 3003 1840 0.61 71.5 964 0.17 100 96 4 0.1 1910 0.6 239.3 71.5 40.3 23.9 121 5.3 113 0 0.13 0.15 1 0.6 0.97 0.007 23.9 0.15 1 0.7 5.34 55 40 0.53 0.1 0.05 0.21 4 100.00 2 1.00 118.3 0 118.3 401.6 0 401.6 0 14.8 2 0 0 0 0 0 0 0.7 13 0 0.61 0.32 0.13 74 100 96 24 0.006 0.61 239.7 964 0.61 0.32 13 0 3003 1844 0.61 71.5 967 0.17 100 96 4 0.1 0.61 239.7 71.5 24 120.1 5.3 114.4 0 119.6 0.13 0.149 1 0.61 0.7 0.006 24 0.149 1 0.7 5.34 55 40 1.58 0.1 0.05 0.20 4 100.00 2 1.00 -0.1 422.7 0 422.7 0 15.9 2 0 0 0 0 0 0 0.48 13 0 0.61 0.32 0.13 0.149 971 75 100 97 24 0.006 0.61 240 0.61 0.32 13 0 3003 1846 0.61 71.5 971 0.08 100 97 3 0.1 0.61 240 71.5 24 -17 5.2 115.7 0 120.8 0.13 0.149 1 0.61 0.48 0.006 24 0.149 1 0.7 5.34 536 55 40 132.7 0.55 0.1 0.05 0.18 4 100.00 2 1.00 -0.1 121 444.1 0 444.1 0 17 2 0 0 0 0 0 Growth Rates Value per Employee Income Statement (Millions $) Net Cash Flow Before Financing (Millions $) Scope of Service Competitive Positions Service Quality – Competitive Position Price – Competitive Position Market Value (Millions $) Return on Capital compared to the Cost of Capital (%) Return on Sales (%) Capital Structure: Leverage Ratio Aircraft Fleet (No of Aircraft) Capital Structure: Safety in Repaying Debt (Earnings/Interest Expense) Sales/Assets Marketing (Millions $) Cash Flow (Millions $) Revenues (Millions $) Balance Sheet (MIllions $) Load Factors (Seats Occupied/Total Seats) Employees per Plane Hiring Decisions (in People) Service Quality Average Hours Worked per Week Team 3 People’s Express People Express Strategy: Overview People Express Strategy: People Express Strategy: People Express Strategy: People Express Strategy: Presenter: Matthew People Express Strategy: Presenter: Matthew People Express Strategy: Presenter: Matthew People Express Strategy: Presenter: People Express Strategy: Presenter: Matthew People Express Strategy: Presenter: Matthew External Analysis: How effective is our strategic position? Presenter: Matthew External Analysis: How effective is our strategic position? External Analysis: How effective is our strategic position? External Analysis: How effective is our strategic position? Internal Analysis: Presenter: Internal Analysis: Liquidity & Solvency Presenter: Internal Analysis: Operating Efficiency Internal Analysis: Operating Efficiency Presenter: Internal Analysis: Operating Efficiency Internal Analysis: Operating Efficiency Presenter: Internal Analysis: Operating Efficiency Presenter: Internal Analysis: Operating Efficiency Internal Analysis: Operating Efficiency Internal Analysis: Capital Structure Internal Analysis: Capital Structure Internal Analysis: Capital Structure Overall Conclusion: Presenter: Overall Financial Conclusion: Presenter:
2
Period
Capacity growth rate (%/year)
Passenger growth (%/year)
Aircraft
Aircraft Acquisitions
Load Factor
Breakeven Load Factor
Peoples Fare
Average Competitor Fare
Total
Employees Per Plane
Hiring
Employee Turnover
Marketing
Market Share (Fraction)
Service
Revenues ($ M/year)
Net income
Breakeven Revenues ($ Million/Year)
Passengers Carried
Breakeven Passengers
Available Seat Miles
Fleet costs
Rookie Fraction
Net Change in Employees
Average workweek
Productivity (‘
0
Reported Service Quality
Value per Employee
Assets
Debt
Equity
Interest
Total Operating Costs
Depreciation
Net Aircraft Purchases
Net Cash Flow
Scope of Service
Competitors
Service Scope
Competitor quality
Stock
Price
Earnings per Share
Outstanding Shares
Market Value
Cumulative Net Income ($ Million)
Cumulative Market Value
Employees Per Plane (Don Burr Strategy)
Average Workweek of
4
Operating Profit
Return on Assets
Profit Margin
Sales/Assets
Cost of Capital
Profit Margin strategic minimum
Leverage Ratio
Leverage Ration strategic maximum
TIE (Times Interest Earned) Ratio
TIE Ratio
Sales/Assets strategic minimum
Cash Flow from Operations
Cash Flow From Investing
Cash Flow from Financing
Interest Expense
Interest Income
Points
RoA
–
Violations
Year 0 Qtr 4
3
0.
5
7
0.
54
0.0
9
0.
1
6
1
65
55
3.2
0.002
3
2.3
1.5
32
30
8
3
59
34
2.1
57
0.5
69
0.57
1
6.5
0.2
0.06
4
3.1
21
45
29.5
2
1.9
7.7
6.9
2
8.9
3.4
0.09
0.1
0.6
0.16
0.7
1.8
7.5
40
3.8
0.
13
0.
12
1.09
0.05
3.83
1.65
1.00
21.9
Year 1 Qtr 1
0.
53
0.4
18
62
1.7
0.9
33
33.2
29.2
369
32
4.6
0.53
0.47
93
0.3
54.62
19
0.
99
5.5
2
1.4
8.1
27
5.8
0.8
1.
88
0.25
6.3
0.21
0.19
1.13
3.6
2.7
5.9
-0.1
11.8
Year 1 Qtr 2
27.31
0.
43
0.29
0.11
24
61
70
0.
94
4
5.3
1
4.7
30.6
39
2
6
5.7
0.43
92
0.
41
5
6.8
162
1
37
39.1
25.8
1
3.3
7.8
2
8.7
–
23
6.38
0.85
4.3
25.5
26
16.8
0.37
1.16
2.9
8.00
-3
5
6.4
13.3
Year 1 Qtr 3
10
38.
97
0.27
0.13
0.15
300
60
90
2.8
0.83
5
6.2
1
6.1
432
307.9
1155
22
0.41
58
57.3
1438
1
49.8
48
29.8
18.6
10.2
2.6
37.6
2.4
-2
0.159
0.
95
8.4
0.89
4.56
36.4
18.7
0.39
0.33
2.61
7.1
18.5
39.9
58.4
Year 1 Qtr 4
80
33.3
0.31
0.14
3
44
46
0.
71
65.5
4
9.4
4
68
3
52
27.5
0.44
56.55
1359
0.71
144.3
47.7
26.2
21.5
12.6
46.4
19.2
0.98
9.52
0.88
43.3
19.1
0.40
1.3
2.22
6.37
38.2
Year 2 Qtr 1
14.26
0.35
0.26
4
20
130
0.
63
67
16.9
51
485
3
64
1386
42
76
54.26
1154
0.63
116.2
14.5
-20.1
8.79
4.76
12.7
52.8
19.5
0.34
1.19
2.11
7.
50
19.9
-4
59.9
39.8
Year 2 Qtr 2
66
20.3
0.32
4
77
120
0.003
0.61
71.3
10.5
60.8
509
434
16
17
5
1.44
106
104
66.1
34.9
31.2
17.6
57.2
-25.9
9.26
5.01
4
4.1
1
3.5
0.20
1.08
2.12
4.50
14.1
54.1
28
Year 2 Qtr 3
57.14
17.61
469
72
3.7
74
69.9
532
498.9
1617
38.5
-7
5
0.42
113
84.3
31.8
8.02
0.23
40.2
19.6
59.8
1.15
2.04
2.31
1
7.4
Year 2 Qtr 4
2
1.28
464
3.9
0.64
78
69.5
560
4
96
0.24
-5
5
0.51
1206
10
5.6
30.8
19.7
9.89
49.5
20.7
70.3
12.2
1.23
1.93
3.70
Year 3 Qtr 1
20.37
0.36
466
0.68
82
13.2
69.2
589
494.3
5
0.84
1264
138.5
27.6
35.5
6
5.2
17.2
12.84
0.66
64.3
87
16.3
1.31
1.77
5.26
34.4
Year 3 Qtr 2
2
0.46
0.38
476
0.
73
86.6
17.5
69.1
619
493
0.22
1301
182.4
23.5
6
5.1
16.96
84.9
26.3
111.2
1.40
1.61
7.25
21.3
42.8
Year 3 Qtr 3
2
0.52
0.77
91
21.8
69.3
650
4
94.7
50.32
1319
233
61.1
42.3
6
5.4
25.7
22.13
110.9
30.7
141.5
24.2
1.49
1
0.08
51.4
Year 3 Qtr 4
16.94
497
94.9
25.3
69.6
678
497.4
0.17
50.26
1365
279.2
60.1
46.8
65.8
29.1
27.4
1.26
137.6
36.1
1
73.8
27.2
0.45
1.58
14.32
58.2
Year 4 Qtr 1
17.22
0.158
495
0.82
29.6
69.4
707
495.7
-1
5
0.78
1427
349.1
59.2
52.2
20.9
65.6
33.4
34.6
1.48
173.4
42.4
215.8
30.9
1.67
23.7
66.8
Year 4 Qtr 2
17.05
103.2
68.9
737
491.9
0.07
51.65
1491
398.2
20.8
65.2
38.1
39.3
1.71
197.3
247.1
35.1
0.60
50.14
76.2
Year 4 Qtr 3
449
107.5
39.2
68.3
768
487.7
0.03
-46
53.28
1711
448.3
-8.2
64.6
44.25
1.96
221.7
280.1
0.87
100
85.6
Year 4 Qtr 4
15.68
0.49
407
0.004
111.7
45.6
798
472.2
-42
55.6
1961
565.5
-17
18.8
-0.4
62.5
49.2
5
0.65
2.28
253.7
68.2
321.9
1.98
0.76
100.00
98.4
Year 5 Qtr 1
14.59
0.28
428
115.8
51.7
827
457.4
56.99
1
932
699
-27.7
83.3
17.1
-0.9
60.5
55.3
5
6.7
2.58
284.3
79.6
364
52.6
2.08
0.67
55.2
55.1
110.4
Year 5 Qtr 2
13.13
536
150
119.6
64.5
854
461
2310
108
57.18
1593
701.8
84.7
-16.2
100.9
-1.4
-61.5
59.96
300.4
92.5
392.9
1.41
58.5
-120
178.5
117
Year 5 Qtr 3
40.3
683
200
0.69
122
94.2
940
724.8
3003
147
56.54
1377
304.5
113.4
113.3
22.5
-0.8
88.9
–
86.7
32.01
5.34
1
63.3
106.3
269.6
28.8
153.3
66.6
Year 5 Qtr 4
92.31
42.49
0.157
782
1
75
13.5
135.2
14.4
120.8
1040
929.1
71.5
175
56.47
1329
166
111.6
115.6
28.7
1
13.7
2
1.21
226.6
0.97
Year 6 Qtr 1
51.49
779
15.3
0.005
152.6
1
26.4
1174
972.3
56.64
1506
235.2
109.9
-10.2
120.1
32.9
-0.2
119.4
34.44
184
116.9
300.9
1.39
0.92
66.4
Year 6 Qtr 2
36.5
776
16.7
166.5
127
1281
978.7
57.39
1650
329.4
108.1
-18.9
32.7
-0.5
120.4
46.2
48.04
1.84
256.6
123.5
380.1
1.54
92.4
Year 6 Qtr 3
30.72
0.156
774
17.9
0.006
179.3
51.5
127.9
1379
983.5
58.41
1783
414.2
106.4
-29.8
136.2
32.6
121
6
0.18
2.41
321.5
133.3
454.8
52.4
1.69
58.3
116.6
Year 6 Qtr 4
771
191.6
128.3
1474
987.1
59.1
1911
495.2
104.8
-42.9
147.7
32.5
-1.5
121.7
71.7
2.96
383.1
146.2
529.2
64.8
0.62
1.83
70.1
140
Year 7 Qtr 1
23.59
0.155
824
202.9
74.3
128.6
1561
989.1
59.3
1894
568.6
103.1
-58.1
161.2
32.4
-2.1
80.9
82.08
3.48
438.5
600.5
76.4
0.74
1.97
80.8
80.7
161.6
Year 7 Qtr 2
19.47
0.55
872
0.007
0.59
212
81.8
130.9
1637
1007.2
59.24
1878
575.5
101.5
-74.6
176.1
-2.9
124.5
88.3
88.78
474.3
180.5
654.9
2.10
0.58
88.2
88.1
176.4
Year 7 Qtr 3
12.93
0.56
0.154
885
219.7
132.7
1690
1020.7
59.12
1910
567.4
99.9
-92.1
192
36.6
-3.7
126.3
93.3
92.58
4.07
494.6
201
695.6
90.7
0.91
2.20
186.6
Year 7 Qtr 4
7.85
896
22.4
224
91.3
1723
59.02
1923
574.8
-110.4
208.8
37.2
-4.6
126.4
97.5
95.16
4.27
508.4
2
22.7
731.2
95.9
195
Year 8 Qtr 1
0.153
907
227.2
132.5
1747
1019.1
58.93
1928
578.1
96.8
–
129
226.1
-5.5
100.8
96.96
4.43
518
245.6
763.6
100.2
1.04
2.35
201.6
Year 8 Qtr 2
4.38
916
229.6
132.1
1766
1016.4
58.85
1929
580.3
95.3
-148.7
244
-6.5
126.1
103.6
98.45
526
269.2
795.3
207.2
Year 8 Qtr 3
3.51
0.152
924
23.2
231.7
131.7
1782
1012.7
58.76
581.8
93.8
-168.6
262.4
-7.4
125.7
99.73
4.68
532.8
293.6
826.5
107.4
1.14
2.47
Year 8 Qtr 4
2.92
23.3
233.4
102.3
131.1
1795
1008.4
58.62
1926
582.4
-188.9
281.2
38.8
-8.4
125.2
100.75
4.79
538.3
318.6
856.9
110.7
1.20
2.53
108.2
108.3
216.4
Year 9 Qtr 1
2.48
939
234.8
104.3
130.4
1806
1003.4
58.49
1924
583.8
90.9
-209.5
-9.4
124.7
110.1
101.82
4.88
544
344.2
888.2
1.25
0.48
0.30
220.2
Year 9 Qtr 2
0.151
945
23.6
236
129.7
1816
998
58.38
1922
585.9
89.5
-230.5
320
39.4
-10.5
124.1
112
102.94
4.97
550
370.3
920.2
116.8
2.64
Year 9 Qtr 3
950
237.1
1824
992
58.27
1919
588.5
-251.8
339.9
39.7
–
11.5
123.4
104.06
5.06
556
396.8
952.8
1.36
0.50
2.69
227.4
Year 9 Qtr 4
1.47
955
23.8
238
109.8
128.1
1830
985.6
58.16
1916
591.3
-273.4
360.2
-12.6
122.6
115.3
105.18
5.14
562
4
23.9
985.8
122.4
2.75
230.6
Year 10 Qtr 1
1.22
960
238.7
111.4
127.2
1836
978.8
58.07
1913
594.4
85.4
-295.4
380.7
40.1
-13.7
121.8
106.29
5.21
567.9
451.3
1019.2
125.1
1.46
2.80
116.7
233.6
Year 10 Qtr 2
964
239.3
1840
971
57.97
597.7
84.1
-317.5
401.6
–
14.8
118.3
107.36
5.29
573.6
479.2
1052.8
127.8
1.52
2.85
236.6
Year 10 Qtr 3
0.149
967
239.7
114.4
125.3
1844
57.86
1906
600.8
82.7
-340
422.7
40.5
–
15.9
108.38
5.35
579
507.4
1086.5
130.3
0.54
2.90
119.7
119.8
239.4
Year 10 Qtr 4
240
115.7
124.3
1846
956.2
57.77
1902
603.9
81.4
-362.6
444.1
40.6
119.1
109.34
5.41
584.2
1120.2
1.63
2.95
120.9
241.8
Market Value 584.2
Points
RoA – Cost 80
+
Violations 0 –
Total 80
Breakdown
Violations #
Quarters
Leverage Ratio 0
TIE Ratio 0
Service Scope 0
Price 0
Charts
(Thousands $/Person)
(Total Assets/Equity)
Efficiency in generating sales from assets
Overall Strategy & Financial Results
External Analysis
Internal Analysis
Conclusion
Presenter:
Overall Strategy & Financial Results
Our Competitive Position in the airline Industry
In general our strategy was to develop and capture the following Strategic Position to achieve a Low Cost competitive Advantage:
Price Position – We wanted to set our price lower than the competitors as we wanted to be a less expensive alternative.
Target Service Scope – We wanted to set our scope of service at a level that was comparable to our competitors.
Service Quality – We wanted to maintain our service quality between .7 (competitors level) and .6 (rate we determined our customers would still be satisfied at our price position.
Growth Rate – We wanted to grow slowly to keep our competitors kind of unaware of us as competitors.
Presenter:
Overall Strategy & Financial Results
Our Overall Financial Result
$584 Million Market Value
Presenter:
Overall Strategy & Financial Results
In general our strategy by decision type was:
Aircraft Acquisitions – Acquire planes at a slow rate. We wanted minimal growth to avoid the competition from noticing us.
Peoples Fare – We wanted to be priced under the competitors, low cost strategy. Capture a piece of the market the competition was missing by higher price point.
Marketing Fraction – Market very little in first 5 years relying on word of mouth and last 5 years investing more to fill up our planes to get a better load factor.
Hiring – Hire for turnover and for more acquisitions of planes with an overall goal of having about 70 employees per plane.
Target Service Scope – Strategy here was to set it right at competitions level of scope, 1 , and beat them in other areas of our strategy.
Presenter: Matthew
Overall Strategy & Financial Results
Aircraft Acquisitions – Overall goal for aircraft acquisition was to have growth but very minimal to stay purposefully a small company compared to the competition.
Here we bought 1 plane in Year 1 Quarter 2 and 3. Quarter 4 we opted to not buy another plane. Year 2 Quarter 1 and 2 we bought 1 plane in each Quarter again.
Here we decided to wait to buy anymore planes till Year 5 Quarter 2 and 3, which we bought 3 planes in each Quarter.
Here we agreed that we had enough planes at this point to fly under the radar of the competitors so they would not lower their fares to put us out of business and at the same time still have a great market value.
Overall Strategy & Financial Results
Peoples Fare – Our goal was to be a low cost competitor. Being such we had our peoples fare set lower than the average competitors rate.
Here we slowly raised our peoples fare every quarter till we hit our target rate of .14 in Year 1 Quarter 4.
Here we started to see the competitors were starting to take notice of us and dropped their rate for peoples fare. As such, we responded with a price cut on our fares to .13 in Year 5 Quarter 3.
Here we left our peoples fare at the .13 rate, noticing the competition was lowering their fare but not to a level fast enough to take our target market of customers from us.
Overall Strategy & Financial Results
Marketing Fraction – Market very low rate first 5 years then last 5 years we adjusted or marketing rate to gain more customers.
Here we kept a low rate of marketing of about 5 million, mainly relying on word of mouth.
Here we decided that we needed to market more so we increased marketing to 12 million in Year 5 Quarter 2.
Here we continued to raise the total amount of marketing in hopes that we could gain a greater share of passengers/ plane.
Overall Strategy & Financial Results
Hiring – …(describe how you made your decisions over time)
Here we again anticipated growing our fleet by multiple aircrafts and so we decided to hire a large amount of employees.
Here we decided to hire quite a few new employees as we were anticipating expansion and growing our fleet.
Here we cut all hiring because we had an excess of employees and were not buying any aircrafts at that point in time
Overall Strategy & Financial Results
Target Service Scope – Our overall strategy here was pretty basic. We wanted to offer the same level of service as our competitors.
Here we set our service scope to 1 to match our competition and pushed forward with or strategy of offering the same scope of service for a low cost price.
Overall Strategy & Financial Results
Service Quality – Our strategy was to offer a level of service quality that was close to the competitions, that was fair for our customers considering our lower cost.
Here we had a quick drop off of our customer service quality which was to be expected. Directly corresponds with our purchasing of planes. We also hit our target level of customer service here ( .61 in Year 2 Quarter 2).
Here we had a period of non expansion. We were not buying planes nor hiring as many employees. Thus , this lead to a low rookie fraction of .03 which allowed our customer service to skyrocket to .84.
Here we expanded our fleet again in Year 5, which means more hiring, more rookies, worse customer service. Yet we get back to our target range of of service of .6 till the end.
Price position – Our pricing strategy was effective for most of the game. We had the one hiccup where we had to drop our peoples fare from .14 down to .13 in Year 5 Quarter 3. That slight adjustment allowed us to be priced at a lower cost than the competition for the rest of the game, which was exactly our strategy. We never wanted to allow the competition to get our price point and effectively take all our business. Overall = Satisfactory!
Target Service Scope – We also believe we were satisfactory at setting our target service scope to 1. We believed there would be enough customers that were willing to have a bit worse customer service but get that same level of target service for a cheaper rate than the competition.
Service Quality – In terms of service quality we were not satisfactory as a strategic position, but we were willing to have a worse quality of service because we determined that price was more concerning to our customers than their level of customer service they were being provided.
Price position: Our price position was effective the entire game. We wanted to be priced under the competitions price for fares. Year 5 Quarter 2 we dropped our fare to .13 to retain our price differential from the competitors. We decided we could keep that price point the rest of the game and keep our price differential.
Presenter: Matthew
Target Service Scope position: Our strategic position of matching the competition at a service scope of 1 did indeed prove effective. We effectively offered our customers the same amenities for a cheaper price which proved to an effective way to grow our company and have a respectable market share at the end of the game.
Presenter: Matthew
Service Quality position: Our service quality was not an effective strategic position for most of the game. Only from Year 3 to Year 5 Quarter 2 did we have a better position strategically than the competition. I’ll say once again that this was completely a part of our strategy though to be under the competitors level of service quality so we could charge a cheaper rate for fares. In that sense, we were effective.
Presenter: Matthew
Liquidity & Solvency – (…discuss overview satisfactory or not satisfactory)
Operating Efficiency – (…discuss overview satisfactory or not satisfactory)
Capital Structure – (…discuss overview satisfactory or not satisfactory)
Cash Flow Analysis: (At the end is it satisfactory or not satisfactory?
Why?)
Return on Assets: Satisfactory
Why?)
Presenter:
Return on Assets compared to the Market Value: (Is the market value driven more by ROA or the growth rate?
Return on Sales: Satisfactory
Why?)
Presenter:
Sales/Assets: Satisfactory
Why?)
Return on Assets impact: (Is ROA driven more by the ROS or Sales/Assets?)
Service Quality: Satisfactory
Why? Satisfactory because
Presenter:
Productivity: Satisfactory
Why?)
Presenter:
Financial Leverage: Satisfactory
Why?)
Presenter:
Leverage Safety: Satisfactory
Why?)
Presenter:
Balance Sheet: (At the end is it satisfactory or not satisfactory?
Why?)
Presenter:
What are the top 2 tactics that worked well for the team?
1…
2…
Looking back, what was a strategy that you tried, but would not work out?
What is the most interesting thing the team learned from this project?