Risk Management at Ahold

The first 200 words of this essay...

Corporate Finance B

Risk Management at Ahold

Content

Content 2

1. Introduction 3

2. Literature survey 4

3. Risk Management Decisions 8

3.1 Stakeholder relations and reputation 8

3.2 Operational and organisational risk 10

3.3 Economic environment risk 10

3.4 Financial risk 11

4. Conclusion 13

Literature 14

Appendix 1: Ahold's risk factors 15

1. Introduction

Started as a small grocery store in the nineteenth century, Ahold has become a well-known multi-national with several thousands of operated stores in approximately 27 countries. With (reported) all-time high sales and profit of more than ( 66 billion and ( 1.1 billion in 2001, Ahold is today one of the largest retail and food-service companies in the world.

Ahold was one of the success stories of the 1990's. Until the end of the 1980's, Ahold was a family controlled national business with strong protection of the family shares. During the following decade, the company transitioned towards a management controlled firm. This transition appeared to be everything Ahold needed. The new management initiated an aggressive growth strategy, acquired many international companies and became a global player.