Wesfarmers financial analysis essay

Given the recent acquisition of Coles, Wesfarmers financial policies and liquidity position has changed significantly.

An empirical analysis of environmental externalities incidence on financial performance. The stakeholders include employees, customers, suppliers and other contractors, government agencies, local communities, and also shareholders in the parent company. As far as the consumers and the employees are concerned, Wesfarmers is successful in exercising a positive impact on the stakeholders.

Wesfarmers avails its resources from different markets, as a result of its diverse variety of products it deals with, however it should be remembered that there is only a limited competition in the supplier market of Wesfarmers.

The threat of being substituted was undoubtedly high for Wesfarmers even in the last few years, however, the organization has adopted environment friendly, energy efficient method of production and has introduced a very high quality consumer service that can is sure to provide the organization with competitive advantage.

Hence, the organization prepares and submits annual as well as half-yearly reports and announcements via the ASX James This substantially demonstrates the Wesfarmers financial analysis essay buying power with suppliers manufactures and obtains benefits associated with dedicated networks and shareholder goodwill Wesfarmers, Threat of New Entrants: This policy of free trade may not facilitate the economic growth of Wesfarmers, as a large number of non-Australian retail sectors may get easy entry into the market.


Wesfarmers is one of the most recognized organizations in Australia, that deals with the production and retail trade of various items, such as energy, industrial and safety chemicals, fertilizers, hardware, insurance and many more.

By analyzing and calculating the figures obtained from the Wesfarmers financial statements of the preceding years we can develop an insight to the success and growth of the company accounting text book.

Hence, the threat of substitute is low Booth and Coveney It was also known that a large number of stakeholder of the parent company were now pleased and supportive of the acquisition of Coles group.

The Australians usually prefer to buy the necessary items in large quantity once in every week, so that it can suffice for the rest of the week. Succession planning is another issue which is constantly under review within the group.

Over the years the group acquired Linde Gas, which is a major provider of gas to the Australian Industrial market. There is a variety of new laws ruling and governing the trade system of Australia, such as the labor law business laws, resource law and many more.

Wesfarmers is known to be one of the highly profit making companies in Australia. However being a difficult year due to the global financial crisis there has been a drop in net profit margin. Coal mining, energy, chemicals and fertilizer production are some of the most important areas Wesfarmers works in, and hence good technological foundation as well as continuous innovation is highly needed for the future development of the enterprise Luftman As organizations grow and expand successfully they are also faced with a lot of challenges.

Hence, it is favorable for Wesfarmers to have the supermarkets and departmental store chains in Australia Chan et al. Together with the mergers and acquisitions taken place over the years, Wesfarmers board ensured that these transitions were a smooth one, keeping abreast with the history and culture of the company.

Wesfarmers : Financial Analysis

By analyzing and calculating the figures obtained from the Wesfarmers financial statements of the preceding years we can develop an insight to the success and growth of the company accounting text book.

The consumers of any organization play an important role, and hence insufficient consumer involvement can be highly detrimental to the growth of an organization.

The board approved new terms of reference for the audit and compliance committee.Stakeholder analysis: “The Board of Wesfarmers Limited is a strong advocate of good corporate governance and is committed to providing a satisfactory return to its shareholders and fulfilling its corporate governance obligations and responsibilities in the best interest of the company and its stakeholders complying with the ASX corporate.

Qualitative Aspect Company Introduction. Wesfarmers is one of the largest conglomerates in the world operating in six business segments which include operating supermarkets, departmental stores, office supplies, home improvement, chemicals, resources, energy, fertilisers and industrial and safety products in Australia and New Zealand.

Stakeholder Analysis: It is crucial for Wesfarmers to analyze the stakeholders of the organization. The organization has a huge number of stakeholders, such as shareholders, consumers, employees, government and media/5(14K). Wesfarmers: Financial Analysis Wesfarmers main focus is very simple but an effective objective of providing a satisfactory return to its shareholders.

However given the global financial and economic crisis, Financial experts have predicted that Wesfarmers debt levels are going to rise in the short to medium term of (Greenhalgh, ). Wesfarmers’ primary objective is to deliver satisfactory returns to shareholders through financial discipline and strong management of a diversified portfolio of businesses.

Wesfarmers financial analysis essay
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