Firms performance

The overall performance of a company, including how well it is expected to function in the future, any potential hiccups, dangers, and successes. In the end, the aforementioned elements and more are crucial in determining a firm's current position as well as its strengths and shortcomings (Zu, 2009).

Market performance is defined as the creation of demand for the firm. It is computed by looking at the average market share in both the primary and secondary segments/100. A score of 0.68 is a weakness as it is below 0.80. 0.8 is the threshold score for market efficiency. Investment into the firm’s future is also used to evaluate a company's total performance. It is necessary for a company's future survival. A score of 3.32 is strength for the firm as it is a score that is above 3.0 (Zu, 2009).

Conclusion

From the preceding, the firm has both weakness and strengths, and a computation of the above scores enable us to determine the substantial portion and the markets. The flaws outweigh the company's power and hence the need for an improvement in the scores of the above areas highlighted above. These improvements are vital if the firm is to compete in future. For example for productive wealth creation, the marketing division needs to earn more profit than the investments made by the corporate headquarter.

Reference

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Zu, L. (2009). Corporate social responsibility, corporate restructuring and firm's performance: Empirical evidence from Chinese enterprises. Berlin: Springer.

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