• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Was Mike Ashley smart by floating shares into the Stock Market?

Extracts from this document...


Was Mike Ashley smart by floating shares into the Stock Market? on the 28th febuary 2007, Mike Ashley became the 25th richest person in the UK, this is because he made �929 million in one day floating 43% of Sports Direct. He remained the Executive Deputy Chairman as he still had a 57 per cent stake within the business. Many people believe that it was the wrong decision to float his shares onto the Stock market as they believe it was not right for the business plan, reasons behind this were that Sports Direct shares fell by 22% within the first 3 months and then halved within half a year after the company announced that it had a major profits warning. ...read more.


There was also romours reccuring that Mike Ashley was to try and make Sports Direct a LTD again after more worrying figures were released/ Although there has been significant reasons to why floating shares onto the stock market was the wrong choice to make, there is also reasons why it was good from a businessmans point of view. firstly, Mike Ashley made �929 million on his first day on the stock market which allowed him to buy shares in worldwide companies such as Adidas, Lonsdale, Blacks and Newcastle United football club, this would mean that he would be making more money each year. ...read more.


Mike ashley then went on to sell off his current shares in Adidas which made him a �29 million profit in just 8 weeks, this proves that he is a smart businessman and knows when to trade shares. 4 months later shares in adidas fell. The last reason why i beleive that it was a smart decision floating the shares onto the Stock Market when he did is because we are now living in a recession which means share prices will only be shrinking and every day and people are going to be less inclined to buy into a business. Mike Ashley is now the 54th richest person in the UK worth �1398 million, Down from 25th place last year when he was worth �1900 million ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level Case Studies and Analysis section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level Case Studies and Analysis essays

  1. Business plan. The business that I am going to produce is a personalised logo ...

    businesses in need of help, this website provides information and support for all aspects of business that someone is willing to start up, the aspects include things such as finance, grants, taxes returns and payroll, employment, skills, IT and e-commerce, sales and marketing etc.

  2. Business Studies Company Recruiting

    These are likely to include: Education and qualifications Training and experience Personal attributes / qualities This is different to a job description, which describes the job; a person specification describes the person needed to do the job. A person specification can, therefore, form a picture of the most suitable person to fill the job.

  1. I am going to carry out an investigation into S Parton Construction Ltd. I ...

    This is also a small local business therefore it mainly gets local customers. This is a benefit to the business since it does not have to pay excessive transport fees for materials.

  2. Tesco's Aims - SMART and PESTLE analysis.

    SMART Objective : An objective that follows SMART is more likely to succeed because it is specific and clear so you can plan and understand what needs to be achieved. The way to tell a SMART objective has been achieved is when you have a way to acknowledge what it takes for completion.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work