In your opinion, in case Petramina wishes to diversify into unrelated diversification, which sector in India would you consider as attractive for the company to diversify? Choose only 1 sector. Specify statistics such as Growth potential of that sector, advantages of doing business in that sector, etc.
Answers
Explanation:
5:3:2 respectively. Partners are entitled to interest on capital @10% p.a. and salary to Bimal and
Deepak @2,000 per month and 3,000 per quarter respectively as per the provision of the
Partnership deed.
Bimal, s share of profit (excluding interest on capital but including salary) is guaranteed at a
minimum of 50,000 p.a. Any deficiency arising on that account shall be met by Deepak. The profits
of the firm for the year ended 31st March, 2018 amount to * 2,00,000.
Prepare profit and loss a
Forward integration is a superior strategy to compete against RIL in India
Explanation:
a) Pertamina is an Indonesian Oil & Gas corporation which can enter India and compete competitors through Forward Integration. It can allow manufacturers to gain better access to end users and improve market visibility.
- Forward integration is a superior strategy to compete against RIL in India because Vertical integration raises a firm's capital investment in the industry.
- Forward integration can enhance the competitiveness through strategically good activities in methods that lowers cost, build expertise and increase differentiation.
- Forward integration often calls for developing different types of resources and capabilities.
b) The Oil & gas sector in India is considered as attractive for the company to diversify. There is Growth potential of that sector as India is about 6% and it is planning to increase by reducing imports.
To know more:
Which one of the alternatives would you choose to your client & why? Justify with reasons.
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