Range of consumer electronics
Asda was formed back in 1965 when associated dairies and the Asquith brother’s supermarket chain joined to form Asda Stores Ltd. Asda was an independent business which was expanding throughout Britain offering shoppers ‘permanently low prices’. In 1999 it was taken over by Wal-mart a foreign American company. Since then its present ownership has been a PLC. Asda’s main activity is selling food based products some of which are leading brands and others are its own local brand. The local Asda brand outsells the leading brand by a stunning 10 to 1.
The other activities include a limited range of consumer electronics, home and leisure products and a wide range of cleaning products etc. Recently Asda has introduced its own clothing brand called George which is now a ï¿½2 billion a year global business. It is so successful that it can also be founded at Wal-mart stores as well. Asda has now entered into the booming market of financial services, it now does credit cards with rewarding interest rates and has entered itself to do pet, car and travel insurance. In recent years it has opened up a website that provides online shopping to customers and also provides a standard delivery service.
Aims and Objectives Asda’s aim since it started of in 1965 to present is still the same. ‘To be Britain’s best value retailer exceeding customer needs… Always’ In simpler words ‘to make goods and provide services more affordable for everyone but not lacking quality or superior service’As it is a PLC the financial dealings and discussions are regularly reported to the media. If a company is in financial distress, this knowledge spreads to the public and it negatively affects the company. The directors have different ideas and plans than the shareholders for the business. They also want their shares to increase in value. If the business is in financial difficulty and the demand and price of shares fall than it leads to the shareholders losing interest in the shares. Overall this lowers the price even further.
This makes the company vulnerable to bankruptcy and a take over bid. Swift Supplies Swift Supplies is a sole trader based in London. It was initiated in 2000 and since than it has been selling branded watches, designer sunglasses, souvenirs, batteries, electronics, phone accessories and media storage; CDs, DVDs, USB storage and memory cards etc. It is a trading company, it does not produce anything but it purchases products in bulk quantities and also imports goods. The company is engaged mainly in wholesale, retail and distribution.
The business is still a small company but it is growing and soon it will expand. Although it has a website it also sells via eBay to customers worldwide. Aims and objectives The aims of swift supplies are, to engage in trading activities, create profits and serve the specific requirements of the customers. This means swift supplies should participate in trading, wholesale and distributing to gain profits and serve the specific needs of the customers. The objective is to serve the consumers, satisfy their needs and make growths in terms of income, profits, improve their services and quality, and be ahead of the competition.
They achieve this by keeping updated with the market trends and the demand of the customers and keeping ahead of other competitors, and use honest and truthful methods and attitudes. Their aims and objectives are on track by the following methods, Sole Trader This type of ownership is basic and consists of a single owner. He or she is required to register the business with the Inland Revenue and is responsible for keeping accurate business accounts and completing an annual self-assessment tax form.
Advantages The business is fairly effortless and simple to start. There are no required procedures to follow especially if the sole trader is using his or her own name. Special accounts must be kept for value added tax (VAT) if the company is registered and besides that paperwork is simple. The financial affairs and accounts are kept private by the sole trader but they should be informed to the Inland Revenue. Disadvantages
If the sole trader is the only one managing the business then he or she have to put in hard work and long hours to turn the business into a success for later rewards. Capital is not raised immediately for expanding or other purposes. The sole trader has unlimited liability for all debts so if the company gets into huge debts he or she would have to lose their possessions in order to repay the debts.