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Home Depot

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SUB: GLOBAL COMPETITIVE STRATEGY (MGMT 6543)

PROFESSOR: Dr. BROWN

NAME: PATEL CHIRAG (B00040617)

CASE TEMPLATE: THE HOME DEPOT

` (Current Situation, External Environment, Internal Environment,

Analysis of Strategic Factors, Strategic Issues, Strategic Alternatives and Recommendations, Evaluation and Control and Summary)

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THE HOME DEPOT
Case Notes Template

I. Current Situation

Comments
| |
|A. Current Performance |
|Financial |The Home Depot profit margin currently is 4.4% and operation profit 8.4%. |
|Trends |Liquidity ratio: Home Depot current ratio 1.39 which shows liquidity of Home Depot is good. Profitability ratio: Home Depot|
| |ROA is 11.92% which means Home Depot assets are profitable. Debt ratio: debt ratio for Ford is 0.52 which indicates Home |
| |Depot has more assets than its liability so it is attractive to investor. |
| |Data shows that sales growth increase by 11.4% and earning declined by 1.3%. Increased selling space realized through |
| |enlarging existing stores, and increasing productivity. See exhibit A. |
| |Due to housing and home improvement changes the sales changes. Economic and current market conditions caused a slowdown in |
| |the residential and housing market and an overall market share decline. |
|Market...