Guillermo's Furniture Store Finance ConceptsComment: Great job on your first paper of the class.You clearly stated the conceptyou were relating to and your comparisons made good sense.
Week 1 Feedback: Week one was very good for you both in terms of participation and your paper.
My main suggestion is to keep up the good work.
Cumulative Score:156/156 (100%) (Paper 100/100, participation 56/56)The early 1990s brought about many dramatic changes to the economic business climate in the town of Sonora Mexico. These changes affected the profits and sucess for Guillermo Navallez and his furniture store, after many comfortable years with little competion for his hand made furniture. The emergence of a new competiter from overseas quickly increased furniture selection at rock bottom prices. The hightech approach from overseas produced high quality furniture through the use of expensive automated equipment. Guillermo must consider his financial options for the future to remain successful.
This paper will discuss the various financial concepts that are applicable to the Guillermo furniture store scenario and how they may relate to the future of the furniture Store.
Guillermo Navallez has an idea that he no longer has the competitive economic advantage that he had enjoyed in the past regarding his furniture store. The new competitor from oversees has challenged current profit structure with furniture made from highly sophisticated robotic production methods. The sleepy town of Sonora Mexico woke up and competitive economic advantage shift s to larger retailers emerging nearby. The cost of labor has increased, along with the increased access provided by the new International Airport. The influx of people changed the economic atmosphere of the small town of Sonora, Mexico. The past low cost of labor in the local area had enabled Guillermo to gain an economic advantage. Recently, one of the largest retailers...