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Protective Hats Case Study

Protective Hats (PH) is a leading public company in country Z, specializing in high-quality protective hats for various industries. The company plans to expand internationally due to growing demand in developing countries and faces internal challenges such as employee complaints about working conditions and the need for enhanced training. Financial data shows an increase in revenue from $100 million in 2021 to $125 million in 2022, although profit margins have decreased.

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26 views2 pages

Protective Hats Case Study

Protective Hats (PH) is a leading public company in country Z, specializing in high-quality protective hats for various industries. The company plans to expand internationally due to growing demand in developing countries and faces internal challenges such as employee complaints about working conditions and the need for enhanced training. Financial data shows an increase in revenue from $100 million in 2021 to $125 million in 2022, although profit margins have decreased.

Uploaded by

sonia.seba1223
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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Protective Hats (PH)

PH is a large public limited company based in country Z. It has been operating successfully for 50 years.
PH produces a range of protective hats for employees working on construction sites, in factories or
mines. It has a reputation for producing high-quality products and sells its hats around the world.

PH is currently the market leader in country Z. To remain competitive PH regularly carries out market
research to find out if new products are needed. PH needs to ensure its market research data is accurate,
so that it can develop the best new protective hats.

PH’s only factory is in country Z. It has 100 production employees. They work on a flow production line
and carry out the same tasks every day. PH pays these employees the minimum wage and there have
been complaints about working conditions. Some of the employees are considering becoming members
of a trade union.

PH’s directors plan to expand the company by opening factories in other countries to produce protective
hats. They think there are many benefits for PH of becoming a multinational company. They are aware
that there is growing demand for protective hats in many developing countries where construction and
manufacturing industries are expected to continue to have strong growth in the next 10 years.

Appendix 1

Advertisement for PH’s products

PH’s protective hats will protect your employees when at work.

We supply many of the leading construction, manufacturing and mining companies across the world.

High quality is guaranteed.

PH’s hats can be ordered online from our website.

© UCLES 2023 11_0986_21_2023_1.2


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Appendix 2

Email to PH’s Managing Director from PH’s Human Resources Director

To: Managing Director

From: Human Resources Director

Date: 1 October 2023

Re: Training

After reviewing our current training, I think we need to increase the training we provide to new employees.
Existing employees would also benefit from additional training as there have been issues with motivation.

I know there are plans to introduce new equipment into the flow production line. When is this likely to
happen?

Can we please meet to discuss these issues?

Appendix 3

PH’s financial data for 2021 and 2022

2021 2022

Revenue $100m $125m

Profit $20m $20m

Gross profit margin 60% 65%

Profit margin 20% 16%

© UCLES 2023 11_0986_21_2023_1.2

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