[marsinvader86]

My quesiton is how come the SWOT says anything about product. I think SWOT is supposed to conclude our competencies or resource and external conditions. Even if it does say something about our product, we have other whole bunch of stuff to worry about first, such as whether our information system is strong enough? Is our cost structure comparable or superior to our competitors?

Why suddenly we stop worrying about these key factors we summarised in our SWOT and start to look for product/market matrix?

I think before we start considering product/market combination. We should make sure that we have addressed the problems covered by SWOT as they are the underlying factors that support our product or market decision.

[marsinvader86]

In additon,

What on earth shall be included in the mission?

The classical definition is PURPOSE?

However, what is the purpose for an organisation as a whole? Obviously, any for profit organisation’s ultimate purpose is to make money? Do we need to state it?

In one page of Kaplan text, the author says there is no correct format of a mission statement.

However, on the next page, it quotes Drucker and says mission has to answer:

What is our business?
What is valued by business
What will our business will and What should our business be?

If there is no right or wrong way to make a mission statement why do we need to care about Drucker’s definition.

On top of this, I have some comments for drucker’s question.

What is our business? (What does he or kaplan mean by business? Defined by product or general needs?)

What is valued by customers (we already considered stakeholders, why on earth we go back here and only consider customer needs? If this is an outdated version from today’s perspective, why it is included in the text?)

What will our business be and What should our business be? (Shoud this be a VISION not a mission?)

To add to my confusion, Kaplan texts gives the following arguements.

* The mission statement is a statement of culture. (What do they mean by culture? Drucker does not mention about culture at all!)

Apparently, Kaplan and CIMA just try to throw away a lot of different definition about mission without giving and organising its own view in a logical way.

[marsinvader86]

Need to do all the professional level exams. 12 Exams

[marsinvader86]

Sorry. I actually posted it on this part of forum first. But you have answered it in ACCA P3. Thanks

[marsinvader86]

How to segment the market is clearly concerned with how I compete in a chosen market and How come the KAPLAN book say it is concerned with corporate level of strategy?

[marsinvader86]

“The main board will delegate responsibility for auditor recommendation to the audit committee. The recommendation then has to be approved by the members.”

So if a statement says

Board of Directors has the responsibilities to make recommendation for external auditors subject to shareholder’s approval.

Then this is correct?

[marsinvader86]

Thanks for your reply. But in real life how do we know the amount of the debt increased? Can we assume the base case NPV equal to increased debt capacity.

[marsinvader86]

Thanks, Ken. I am not sure about I am 100% clear about what you say. So in valuing Real option, we do not use risk free rate? But Ke?

Financial options are considered risk rate while real option are not?

[marsinvader86]

Thanks for your prompt rely John. You are always very helpful.

Is the second one actually more technically correct like I say?

I find CIMA/ACCA/CFA exam use two different methods interchangably in a lot of questions and get so confused.

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