AFM433 Study Guide - Final Guide: Decision Matrix, Swot Analysis, Cash Flow

• School: University of Waterloo
• Department: Accounting & Financial Management
• Course: AFM433
• Professor: Mark Arnason

Document Summary

Situation: differentiated; stakeholder bank; cash problems: role, requirement. To ______________________(objective - smart) by offering _______________(value prop, xt adv) to _______________________(target customer) through ________________(internal advantage). So do they have an advantage (are they profitable)? (after trigger) do the internal/external adv. align. Take sps off the list to end up with 1-2. Customer value prop; required resources; available resources; actions to close gap; whether feasible. Revenue models: asset sale, usage fee, subscription fee (phone+usage), lending/renting/leasing, licensing (software, franchise), brokerage, advertising. Cost structure considerations: cost types (financial reporting), fixed costs vs. variable costs, cost and asset considerations, economies of scale and scope. Possibly a cash flow statement/projection, incremental revenue analysis. Swot (internal strengths and weaknesses, external opportunities and threats) for status quo and each possibility. Use decision matrix e. g. roa, time, risk, revenue. Choice: what, why and now what (next steps) Optimize supply chain, expand channels, improve quality, hire local and open local stores. Selection of coffee beans, great coffee baristas, cashiers, stores.