INITIAL PUBLIC OFFERINGS Research Paper Example | Topics and Well Written Essays - 1250 words

INITIAL PUBLIC OFFERINGS - Research Paper Example AVG is a world leader in software development, threat detection, threat detection and risk analysis. The company also invests in research and development and collaborates with leading universities in order to maintain its technology edge (Company Profile, 2012). The company is currently contemplating to issue an IPO (initial public offering) so that it can expand its global market. The company has two options as to which type of IPO the company should use. The company may decide to either use the traditional IPO or use the online auction. In this research essay, I will discuss the two types of IPO issues and look into lessons learned from the module one case. The traditional approach to getting capital has usually been the way to go for most companies seeking equity. However, with the advent of the internet and technology some start-ups are choosing to do online auction in an effort to seek capital. Both types of IPO have have their pro and cons. I will start by analyzing the traditi onal IPO method before embarking on online auction analysis. As I had earlier mentioned that, the traditional IPO method is the most common way of getting capital. The traditional method has some advantages and disadvantages. Regardless of the type of IPO used, the company issuing an IPO usually has several benefits. First, the company increases it capitalization, net worth, liquidity and prestige. However, the company has to abide by the rules and regulations of the SEC (Security and Exchange Commission) which is the body that oversees the registration of public companies in the U.S. Companies going public are required to disclose their financial statements to the public. This may negatively affect the company’s perception especially during the bear market and this may decrease a company’s stock price, lower its liquidity and capitalization. In order to have a successful IPO, a company needs to attract investors. Enough investors who will create large levels of capita lization that exceeds the amount that had been privately invested. In the traditional approach, companies conducting the IPO pitch to investors on investing in to their companies on road shows. These road shows usually target institutional investors. Institutional investors play a huge role in influencing small investor participation. Therefore, underwriting firms usually offer institutional investors discounted stock prices as what is termed as pre-IPO rates. The courtship of large institutions is crucial to the success of IPO offerings because it facilitates the participation of other investors in the market. In addition, it guarantees that the underwriting company gets a good stock price, which will determine the future value of the company as well as determine the capital collected. As far as the cost of going public are concerned, the traditional approach may at times prove to be costly. First, the company has to disclose financial and business information to potential investor s. The disclosure might be costly to the company considering that there is always competition in business. Therefore, the disclosure of such information may provide valuable information to the competitors. Second, the traditional method of issuing IPO may take anywhere from six months to two years. A lot of time and effort is put towards gathering the relevant information and putting things together. This distraction slows down the day-to-day operations of the company and engages the senior management in focusing

Marketing management for the service industry Lab Report

Marketing management for the service industry - Lab Report Example Banyan Tree Hotels and Resorts are among the main players in the Asian Tourist markets and, since, its entry in 1994, it has grown at a tremendous rate to establish a global brand. It is founded by Mr. Ho Kwon Ping and his wife Mrs. Claire Chiang. The company operates in a numbers of countries including Singapore, Australia, Indonesia and Thailand where it has established a strong presence. As a result of its success especially in providing quality services in an environmental friendly manner, in addition its marketing strategy, a case study on the company is going to be analyzed, researched. An analysis will be offered in relations to the company’s services and marketing strategy. B. Facilities and Services of BTR Banyan Tree Resorts (BTR) currently offers a wide array of facilities and services that can constitute to a luxury resort experience. This is much so when related to the prices they are offering and the type of market or clients that are targeted and access services . A luxurious resort experience contains a number of things ranging from the type of services, the quality of services, the price offered, type and quality of facilities available among others. In relation to this, the following discussions identifies the services and facilities at BTR and provides the justifications for the reasons why the two (services and facilities) constitute to a luxurious resort experience. B1. Facilities The BTR resorts around Asia offer a variety of facilities that enhance the experience of clients to a whole new level. First and Foremost, the resort’s units are mostly constructed on natural environments that involve making minor adjustments such as including a few added artificial features or removing a few natural features. This is, when the units are constructed, it involves removing a few of natural aspects that might not provide a comfortable experience and at the same time, add a few artificial aspects such as electricity lighting among others. This in addition with the use of local furnishings created from local materials constitutes to a natural, peaceful, relaxing and enjoyable experience. The location and construction of the resort units is usually one of the key contributing factors of a luxurious resort experience that most hotels in crowded and noisy cities are unable to provide. This feature is in line with the company’s vision and mission of providing clients with an experience that meets their five senses and most notably, their smell, sight and sound where breath taking view and breezes offer an unforgettable experience. Secondly, BTR offers spa galleries that are branded as Banyan Tree spa. This facility is one of the most exquisite features in the resort and guarantees its clients a memorable and luxurious experience. The fourth sense of touch and personal rejuvenation are experienced by clients is a courtesy to this facility. In addition, the type of products, level and quality of expertise offered by the staff in these facilities make the experience more unforgettable, luxurious and enjoyable. For the sake of this facility, BTR has an academy where it trains local experts for different services and most notably the massage services. Thirdly, BTR especially in its Banyan Tree Phuket Resort has a Banyan Tree Gallery brand concepts that are closely associated with the spa facility, where it is mainly concerned with retailing massage oils, skin and body lotions among other products. These