Thomas Edison State BUS-421 case study 4

Case Study Assignment 4

The casestudy assignment for module 4draws on the following textbook case: Case 16: “Sara LeeCorporation in 2011: Has its retrenchment Strategy been Successful?” byArthur Thompson and John E. Gamble, C243– C256.

Read case 16in the textbook, and then respond to the case questions given below. (See “A Guide to Case Analysis” for further guidance on written case analysis.) In addition to using the Sara Leecase study provided in the textbook, research the company further to find any relevant events that have transpired since the writing of the case study. Use the company’s Web site, Internet searchengines such as Google, online data services, or other sources to locate the latest articles about the company including press releases and current financial information. Be sure to cite all sources according to APA guidelines (see also Appendix: A Note about Documentation).

Case Questions

1. What strategy has Sara Lee used to grow its business?

2. Why is Sara Lee retrenching? How is it determining what units to retrench?

3. Examine the financial results in Exhibit 4 and determine how the company has been doing by calculating profitability, liquidity, leverage and activity ratios. Based on these ratios what is your assessment of the company’s performance? Justify your answer.

4. Which ones of the five generic strategies has Sara Lee used for Hanesbrands, North American Foodservice, International Beverage, International Bakery and International Household and Body Care?