GLO-BUS: An Online Simulation for Developing Winning ... - COPLAC

Course Grade (Cont’d.)
Company Performance:
Board members and investors have annual performance
targets for the company, each weighted equally
1. Grow EPS at least 8% annually
through Year 10 and at least 4%
annually thereafter
2. Grow stock price about 8%
annually through Year 10 and
about 4% annually thereafter
3. Maintain ROE of 15% or more
annually
4. Maintain a B+ or higher credit
rating
5. Maintain an “image rating” of 70
or higher
EPS=
Stock=
Yr 5 Yr 11 Yr 14
}
$2.00 ≥$3.16 ≥$3.56
$30 ≥$45.85≥$51.57
ROE= 17.5%
Credit= B+
≥15%
≥B+
≥15%
}
≥B+
Image= 70 ≥70 ≥70
Ben A. Kahn / Paul Miesing “GLO-BUS” BADM 510-70 Strategic Management MCLA / U Albany
Grow
Maintain