Case summary Analysis of the external environment Opportunity Threat posed by new entrants: barriers to entry are high due to high fixed costs, lack of history in the local community, regulation zoning and "not in-my-back-yard" factors protests. Power of suppliers: Funeral consolidators such as the Loewen Group can put strong pressure on suppliers to reduce prices. Power of buyers: The funeral home firm funeral home is usually the first point of contact home has the first opportunity to sell all related services and supplies Substitute products: Small family-owned funeral businesses cannot compete with consolidators because consolidators offer the consumer every available option while. family-owned funeral homes cannot. Intensity of rivalry: Although there were more than With approximately 10,000 privately owned funeral homes in Canada in 1996, the Loewen Group maintained its market share thanks to its namesake. Furthermore, only 30% of family businesses reach the second generation and only 10% reach the third. General competitive analysis:a. Future goals:b. Current strategy:c. Hypothesis: d. Capabilities: Economic: Everyone dies and therefore there will always be a market for funeral services. Socio-cultural: Being an established funeral home, they can offer cheaper services for those who don't have much income, but they can also provide the top-notch funeral service for those who want to pay for it. Global: SCI has led the way, and Loewen Group can follow its lead to enter the global market without R&D costs and steal some of SCI's market share.Technological:There are not many technological advantages for a company that makes reliance on tradition.Political/Legal:They legally invest their money from income accrued before need. Being able to invest these revenues allows them to create more money... middle of paper... the company which in turn reduces costs for the customer, offering greater value. Competitive Advantages: One The competitive weakness of company is the fact that it uses the original suppliers of the acquired funeral homes. Financial Analysis Profitability Ratios: Return on Total Assets: Return on Equity Capital: Net Profit Margin: Liquidity Ratios: Current Ratio: Leverage Ratios: Debt-to-assets: Debt-to-Equity: Asset Ratios: Total Revenue of Sales:Accounts Receivable Turnover:Average Collection Period:Shareholder Return Ratio:Dividend Yield on Common Stock:Price to Earnings Ratio:Critical Issues to Prevent BankruptcyImmediate Critical Issue:a. Action Step:b. Action Phase: Critical Issue 1 to 5 Years: a. Action Step:b. Action Phase: Long-Term Critical Problem: a. Action Step:b. Action step: Update case bibliography http://www.hoovers.com http://www.wsj.comhttp://www.loewengroup.com