The largest factor which must be examined in regards to CanGo entering the online gaming industry is the probability of success, which is measured by profit. Upper management must consider many financial factors that will be imperative to the overall success of the company. In order to implement the new sector into the company auspiciously, expenses in relation to human resources, supply and logistics management, marketing, and the procurement and deployment of new and existing technology/methodologies must be examined. The company has currently projected an increase of 500% in net sales which will cause an increase in expenses to accommodate the resources required to handle the upsurge of demand. CanGo will need to hire new personnel in order to maintain order demand and will also require new technical staff members in order to implement and maintain the required hardware and software necessary for on-line gaming. CanGO must also account for storage and trucks required for shipping. One of the most important and potentially largest expenses CanGo must consider is marketing in regards to the on-line gaming industry. Examining all previously mentioned items will assist in the assessment of profitability for CanGo within the on-line gaming industry. Recommendation: Many new businesses and projects fail due to not properly completing a profit analysis projection. Completing a projected profit analysis allows upper management, stakeholders, and key decision-makers to make
1.1. Review principles of estimating project cash flows. Suggested reading: Ch. 9 “Capital Budgeting and Cash Flow Analysis” in “Contemporary Financial Management”, 11th ed. by Moyer, McGuigan, and Kretlow.
Estimate the project’s operating cash flows for each year of the project’s economic life. (Hint: Use Table 2 as a guide)
2. Use the projections provided in the case to compute the incremental cash flows for the PCB project. Provide a reasonable estimate for cash flows after 2009 as well.
The Grad Consultants has determined that CanGo has four internal strengths. The first is the technologies of CanGo. The company possesses the ability to implement a new online type of gaming because they already have the streaming technology in place and can create a parallel installation of the two processes.
The CanGo Company had experienced many obstacles and conflicts during the development of the proposed online gaming services. It is imperative for CanGo to review or to identify any problems that could threaten the company’s future goal. First of all, All team management of the company need to have a clear vision about the company’s long term planning, and analyze very carefully what audience would be targeted for the online gaming services. Also CanGo needs to perform a reliable analysis about their financial status, and making sure that they have the equipment is fully functional and available necessary before they start on new online gaming project. CanGo should also consider that each staff is fully aware about the CanGo’s mission, and this would be a positive way for the company to successfully achieve its goal.
The Innovative A’s Consulting Group is glad to run our analysis on your company’s operational process. Your company has done tremendous progress and indeed it is a recommendable success as it started out small and grew to be one of the leading businesses in the industry. In our analysis over the past two weeks, we observed that, if planned well, CanGo has a promising future ahead. Our team came up with certain issues being faced by your company, which we assume, if not resolved, can cause a problem in the long run for CanGo to be more successful. Your company has been lucky over the past few years, but in our evaluation, we concluded that CanGo’s future needs a great deal of strategic planning. By carefully
The goal is to generate an income of $40,000 per year, starting sometime in the second year of operation, as wells as profit that is at least 2% of sales.
CanGo needs to wait to integrate the systems until the online gaming project is up and running. Then they also need to wait to integrate the company systems until the IT personnel are less busy on new projects so that they are not to be pulled off the important projects with a tight deadline. We would also suggest
1. Using the historical data as a guide (Exhibit 6.1), construct a pro forma (forecasted) profit and loss statement for the clinic's average month for all of 2010 assuming the status quo. With no change in volume (utilization), is the clinic projected to make a profit?
CanGo has turn out to be one of the quickest growing on line small commercial enterprise corporations. They specialise in video games, books, music and are considering their next circulate to be online gaming. they have categorized themselves as “the patron”. with the aid of doing this it lets in them to hold the question “what do we want” within the forefront of the minds all at the same time as focusing on understand the patron’s want and desires. The CanGo body of workers is strongly devoted and committed to the furthering of the corporation. CanGo has already installed itself as a multi-million dollar market.
Describe the methods that will be used to sell and distribute the products or services
The analysis of the financial projection in this report is based on the assumptions and the information which you (client) provided. These assumptions and information can be change with the passage of time. The
projects a company does choose to invest its resources in are likely to generate profit
Finally new online companies are creating new games that do not need a console so they can be played easily, anytime and anywhere. This factor affects our sales dramatically because our product might be seen as old fashion.
In many of the MMORPG (Massively Multiplayer Online Role-Playing Game) game there is always a guid to it but sometime the player are not follow those guid and ending up complaining that the game are not good. Accroding to Menashe Kestenbaum in every game before the player start playing its, the players should search up the mmohut.com and what kind of game they like and do they want to play solo or with everyone. (P.3: A Beginner 's Guide to MMORPG) The players would also check to see if they like the game graphic or not. It might just be a simple game but for a professional player 's gaming is life and they will help create the guide for new players.