ECOM5005 Business Analytics and Data Visualisation

Revenue growth holds a vital position for businesses, regardless of their size. It stands as a critical barometer of a company's financial health and accomplishments, often laying the groundwork for forthcoming investments, expansions, and opportunities for growth. It can serve also as an indicator of a company's sales and marketing strategy effectiveness, as well as provide a basis for performance comparisons with its industry peers.

As a market analyst, you would like to explore the factors influencing a company’s revenue generation and its growth potential. To embark on this inquiry, you have collected the following data from Capital IQ database for public companies belonging to the All

Ordinaries Index. The data is stored in the Excel file “Capital_IQ_data.xlsx”.

. Total Revenue, 1 Yr Growth %  [FY 2022]: the percentage of revenue growth over one year, from financial year 2021 to financial year 2022.

. Total Debt/Equity %: refer to the debt-to-equity ratio (D/E ratio). It is calculated by dividing a company’s total debt by its total shareholder equity.

. Inventory Turnover: is determined by diving the cost of goods sold by the average inventory value over one year. The inventory turnover metric assesses the effectiveness that a company manages its inventory. A relatively low inventory turnover ratio could suggest sluggish sales or surplus inventory, whereas a higher ratio indicates robust sales but might also point to insufficient  inventory management.

. Return on Equity: is a financial ratio that measures the performance of a company based on its shareholders' equity outstanding. It is determined by dividing net income by shareholders' equity. Return on Equity (ROE) serves as an indicator of a company's profitability and its effectiveness in generating earnings. A higher ROE signifies more effective management in generating income and growth through equity financing

. %  Stock  Price  Change  [1  Year]: is measured as the percentage change in a company stock price between financial year 2021 and financial year 2022.

Utilising the provided data, your task is to conduct a regression analysis to identify the factors that may influence how a company grow its revenue. This analysis will help address the following questions.

1.   Which variable(s) significantly determine the company’s revenue growth?

2.  Are the errors of the regression independent?

3.   Is the regression model useful?

DUE DATE

Your video presentation is due on Thursday 2nd November 2023 at 9am (Perth time).

.    You should upload the video presentation to Echo360 and submit its public

website link via Blackboard. Please see the following file for details.

“ECOM5005_Instructions_upload_video_Echo360_and_BBsubmission.pdf”

.    A copy of your Excel workings is required to submit with the Echo360 link of your video presentation.

o When submit to Blackboard, the name of your Excel file should  be

“YourStudentID_LastName_Excel_workings.xlxs”

If your video presentation is not submitted by the due date,

.    a deduction of 5% of the total marks allocated (i.e. 5% x 25 = 1.25 marks) for the business report and video presentation will be deducted from the assessment mark if they are submitted within the first 24 hours of the due date,

. for each additional 24-hour period, an additional penalty of 10% of the total marks allocated (i.e. 2.5 marks) will be deducted from the assessment mark, and

. zero mark will be recorded after seven (7) days from the due date.

Mark allocation of the video presentation:

.    The total mark for the video presentation is 25 (account for 25% of final marks)

o 10 marks are for the video content

. How to obtain the regression results in Excel

. Correct answer for 3 questions

. Correct Excel outputs

o 15 marks are for the video presentation.

. Presentation with the structure outlined in the requirement document

.    Logical structure of the presentation and maintain interest

.    Expect to have a combination of

o Excel screen

o Results on powerpoint slides

. Student’s face must be in the video at all times

. Video editing technique

. Timing

INSTRUCTIONS FOR THE VIDEO PRESENTATION

.    The video presentation is worth 25% of final marks