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Analysis of ABC Company 1
Analysis of ABC Company
Course Name:
Course Code:
Student Registration Number:
Supervisor’s Name:

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Analysis of ABC Company 2
Introduction
ABC Company is a manufacturing company that concentrates in building cedar
roofing and siding shingles. The current annual sales of the company are around $1.2
million, a 25% rise from the last year. The company has aviolent growth target of achieving
$3 million annual sales in next 3 years. The Chief Executive Officer of the companyis keen
to search additional goods that can influence the present employee skillset of ABC as well
as the production facilities. The Chief Executive Officer is working on a new opportunity.
The Chief Executive Officeris planning to use some of the shingle scrap materials to
construct cedar dollhouses. This new product line would increase additional raw materials
and will take lesser time toproduce in comparison tocedar shingles. Although this product
line will need extra expenses, it will generate extra revenue and gross profit and will assist
in achieving the growth targets.
Risk Profile
Risk can be called as the ambiguityinvolved in a given thing or event. Risk is
observed in every part of life. Two types of the risks are faced by business enterprise as
well namely, Systematic Risk and Unsystematic Risk. The Systematic Risk is in-built to the
whole market known as un-diversifiable risk or market risk. It cannot be diminishedby
using diversification instruments and influences all the business enterprises. Unsystematic
Risk can be called as the risk related to a givenbusiness and it can be certainlydiminished.
Another name forunsystematic risk is diversifiable risk. Therefore, it can be said that
identification of the risk involved is very necessaryand diminish it by implementing variety
of instruments.Examples of systematic risk are economic conditions, governmental law,

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Analysis of ABC Company 1 Analysis of ABC Company Course Name: Course Code: Student Registration Number: Supervisor’s Name: Analysis of ABC Company 2 Introduction ABC Company is a manufacturing company that concentrates in building cedar roofing and siding shingles. The current annual sales of the company are around $1.2 million, a 25% rise from the last year. The company has aviolent growth target of achieving $3 million annual sales in next 3 years. The Chief Executive Officer of the companyis keen to search additional goods that can influence the present employee skillset of ABC as well as the production facilities. The Chief Executive Officer is working on a new opportunity. The Chief Executive Officeris planning to use some of the shingle scrap materials to construct cedar dollhouses. This new product line would increase additional raw materials and will take lesser time toproduce in comparison tocedar shingles. Although this product line will need extra expenses, it will generate extra revenue and gross profit and will assist in achieving the growth targets. Risk Profile Risk can be called as the ambiguityinvolved in a given thing or event. Risk is observed in every part of life. Two types of the risks are faced by business enterprise as well namely, Systematic Risk and Unsystematic Risk. The Systematic Risk is in-built to the whole market known as un-diversifiable risk or market risk. It cannot be diminishedby using diversification instruments and influences al ...
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