E-Book, Englisch, 29 Seiten
ISBN: 978-3-640-83927-8
Verlag: GRIN Publishing
Format: PDF
Kopierschutz: Kein
Anheuser-Busch operates its business with a small equity base. But for future acquisitions in foreign countries, it is likely that investors want to see a higher equity. At the moment, the risk buffer of the brewery is too small. The management recognized the problem and started to repurchase stocks. Therewith Anheuser-Busch tried to strengthen its equity base in the past years. This procedure must continue if the company wants to be ready for entering new growth markets. The good income and cash flow situation of Anheuser-Busch should make it possible that this plan is going to work out. In the end, the brewery should be able to improve its debt situation. After the financing improvement and new acquisitions in foreign markets, investors attitude should be positive and Anheuser-Busch even more competitive.
The ratio analysis of Anheuser-Busch proofs that the company is able to operate its business with a small use of working capital. Moreover the brewery understands to use its assets efficiently. Remarkable are Anheuser-Busch’s abilities to operate its business with low equity, to keep the cost down and thereby holding a good price level. With the mentioned policy changes the company should experience an extremely positive effect.