Investment Project Evaluation

Essay by FridgeUniversity, Master'sA+, May 2014

download word file, 24 pages 0.0

Lomonosov Moscow State University

Faculty of Economics

Research Project

"Investment Project Evaluation (Henrich Schultz Pub)"

Work was made by:

Kazarov Edgar

Kuroshchenkova Anna

Lugina Olga

Savziev Nazhmuddin

Yelkov Dmitry

Moscow 2013

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Table of contents

3Theoretical part �

3Introduction �

4Market analysis �

5Quantitative methods of evaluation �

8Practical part �

8Market analysis for "Henrich Schultz" �

10Marketing strategy �

11Sales planning �

12Investment cost �

13Organization structure �

13Operating expenses �

17Calculation of WACC �

18Calculation of different indicators of effectiveness (NPV and IRR) �

19Risk analysis �

22List of reference �

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Theoretical part

Introduction

Investment analysis is one of the most important areas in corporate finance. The purpose of this project is to research the basic principles and methods of investment analysis and illustrate these techniques by the real example. We will try to evaluate the attractiveness and profitability of opening the restaurant with franchise.

To start a business with franchising system is the real possibility for entrepreneurs to make advantages on the market and gain the profit using the power of successful brands.

There are several reasons why the topic of our research project is investment project evaluation and why we will illustrate the evaluation of opening the pub "Henrich Schultz" in Moscow. In a nutshell the explanation of the topic choice can be formulated in the following way:

- it is useful to learn the theory about project evaluation and have a practice in estimation of real project effectiveness

- it is interesting to imagine that you can start you own business or you are the real company consultant

- nowadays franchising is a very popular and effective method of running the business

- food industry is a very big sphere of activity, so it is possible to succeed in case of well-thought-out...