[B]1) Describe a current issue in the business world?
- is sub-prime crisis still the main focus?[/B]
Current issue in the market now has been Credit Crunch. It has hit almost all the developed markets. especially GB. it is the main focus as it just started with sub-prime crisis and spread all around the financial market.
- now banks are not willing to lend each other because of the fear that they cannot get their money back. this just made several Central banks to inject some billions of cash to ease the situation.
-direct effect- it just let the banks increase the rates of lending. problems with loans. just think about a car loan now it is hard to get one due to the fear felt by the banks.
-now think about car makers, how can they then sell their cars, again indirect effect
-property development companies cannot sell their flats/homes
-many non or financial companies cannot sell their commercial property to raise cash as banks do not lend buyers. so again problem with raising cash.
-most importantly, devastating effect of sacking the employees. this is the worst part of the issue. it is a crippling effect. it might really affect the graduate employment programs as well
-also stockmarets are in red now. has been actually since august
so there are many more and is an issue now
[B]2) Give an example of a company that you believe has the potential to grow and why?
choose a company that is not audited by KPMG. be very careful not to choose one of their clients as they know more about it than you do. and anything you tell them is very well known to them as they would have been wroking with the company. Take a small company with around about 20-50 employees may be. be very familiar with the company of focus as you will get nice questions of KPMG’s interest.
choose a big company if not the small one. but again should be audited by other BIG3s. Choose then M&S. tell about their international expansions. EU and india. financial industry activities. or tell about Waitrose. they are expanding as well. i am interested in retail and can only give you advice on retail.
[B]3) What problems do you think professional services firms are facing today?