Case Analysis in Strategic Management and Policy Teaching
Case analysis is an essential component of any strategic management and policy teaching. A case study analysis should include the history of the company's development and growth, internal strengths and weaknesses, external environment, SWOT analysis evaluation, corporate level strategy, and business level strategy. The case study will present examples of how strategic management may be utilized to identify and solve organizational problems. A case often provides an overview of the present company scenario, allowing one to judge the corporation's achievements and failures. When analyzing a case study, it is very crucial to start with a financial analysis as this will give a clear understanding of what the weaknesses in performance that a company is facing (Wheelen & David 336). The economic analysis will include valuable information like liquidity ratios, profitability ratios, activity ratios, and leverage ratios. All the financial information at hand is what will be beneficial to understand what is going on. A sound financial analysis of a company will discuss the ratios that have an effect on the problems that the company is undergoing.
Understanding the Financial Information of a Company
Looking deep into the financial information of a company will give an overview of its structure and strategy. The financial analysis will provide a lot of information for the underlying problems of the enterprise. For instance, when the cash flow from operations drops lower than the net income this is an excellent sign that the corporation has a problem because for the company to be able to keep up its earnings, it could be as well selling its assets. Information obtained from the financial analysis will be beneficial in the aiding of decision-making in the company (Jones 386). After the economic analysis is completed the rest of the approaches of the case analysis can be done as the understanding of the companies economy will aid in avoiding serious errors in the study. It is important that when one wants to understand and have information about the competitiveness of the industry one should gather outside research on the environmental setting. The outside sources will provide additional information that the case is lacking and also provide credibility and substance. By making use of outside sources such as libraries and the Internet the one researching will be able to gain access to the historical data on the company, financial statements, and other substantial information. The internet research will also give an understanding of where the corporation is to when the case analysis is being conducted (Hewson 153). The relevant information that one should look for is the average industry ratios so as to have a firm comparison. Other information that a researcher should consider looking for is the information on the competitors of the company together with information of the company that is involved in the case study. Information on the business participating in the case analysis that should be looked for is the 10-k forms and annual reports.
Conclusion
The easiest way to an online research and to find sources of the period of the case analysis is by setting the date parameters. The primary reason for a case study to be conducted is to gather information that gives a direction on what they should have done and not to research on the path that they took that led to the problems. If it's done on the basis of what they did wrong, the analysis will not cover every area of the problem which could negatively impact your recommendation as it would lack proper justification.
Works Cited
Hewson, Claire. "Business and Management." Internet Research Methods (2015): 129-163.
Hunger, Thomas L. Wheelen & David. "Case Analysis." Strategic Management and Business Policy (2012): 332-340.
Jones, Gareth R. " An Integrated Approach." Strategic Management Cases (2012): 385-432.
