1. With which of the international competitors listed in the case is it most interesting to compare Inditex’s financial results? Why? What do comparisons indicate about Inditex’s relative operating economics? Its relative capital efficiency?
GAP H&M Benetton Inditex
ROIC -0.15% 24.16% 11.20% 27.24%
Return on sales -0.06% 9.60% 7.05% 10.46%
COGS/sales 7
FOODSERVICE
Ecolab gives you the confidence that every aspect of your operation is protected, from front door to back dock. We are the partner you can trust to assist with food safety, guest satisfaction, employee safety, operational efficiency, as well as providing 24/7/365 support.
SERVING: FULL SERVICE RESTAURANTS, CAFETERIAS, MOVIE THEATERS, QUICKSERVICE RESTAURANTS, CONVENIENCE STORES
F
operating system and service differentiation
- Each product management system: By raising the efficiency of inventory control and sales management, higher ratios of product rotation and less cost of sales management and operating cost
→ Higher competitiveness
C. Promotion strategy: Continuous leaflet advertisement, raising recognition, advertisement in the same sized format.
O
sales, on average, that represents profit. SK Energy’s profit margin in 2008 is 1.94%.
6) Fixed Asset Turnover Ratio
Fixed asset turnover ratio measures operating efficiency comparing sales volume with a company’s investment in fixed assets. SK Energy’s fixed asset turnover ratio is 2.39. In 2008, SK Energy was able to generate 2,390 won in revenue for each 1,000 won invested in asset.
Enterprise resource planning (ERP) system
a computer information system that integrates business functions in an organization`s value chain
ERP system offers the capacity to handle resources based on business functional integration, and makes operating processes efficient in order to produce sufficient performance in rapidly changing environment
Most literature on ERP implementation have focu