Premium Essay

Olympus

In: Computers and Technology

Submitted By yeliah
Words 258
Pages 2
Executive Summary

Olympus is a Japan based multi-national company, first established in 12 October 1919 and is listed in the Nikkei index. Olympus is a manufacturer of optics and reprography products. The headquarter is located in Japan, but operations extends to many parts of the world. Olympus tried to innovate and expand in emerging markets. They were trading with monthly high from ¥4940 to monthly low of ¥1012 in 60 weeks. Share price movements have been extremely volatile since the start of 2008 till present due to several contributing issues that includes natural disasters and scandals.

In the first part of the report, we produced an analysis of the overview of Olympus financial performance, production, micro-economic and macro-economic impacts on the company. These analyses will generate a better understanding on how the various issues contribute to the share price changes.

Thereafter, We have used five different valuation models and it includes Dividend Discount Model, Free Cash Flow Equation, Price/Earnings Model, Price/Book Value Model, and Net Tangible Asset Model to evaluate the value of the current share price. This helps us to determine if the market share price is overvalued or undervalued thus enables investor to make investment decisions.

Key appeals of Olympus includes: * Strong recovery from past scandal * New experienced management team * Sony investments in 2013 announced * Tougher audit checks to prevent scandal from resurfacing

Negative appeals of Olympus includes: * Slowdown of Japan economy * Gloomy outlook of global financial economy * Decrease in investors confidence since scandal

Olympus - Valuation Summary on DDM and…...

Similar Documents

Free Essay

Hera - Zeus

...Hera to Zeus This letter is from Hera, wife and queen of Olympus, to Zeus, husband and King of Olympus and the Gods. The material for this letter can be found in Metamorphoses by Ovid Jupiter and Europa, Anthology of Classical Myth by Apollodorus K1 Heracles, and Zeus in Power in Anthology of Classical Myth by Hesiod. I chose to use myths that depict Zeus cheating on Hera and one where he goes out of his way to rape other women. I avoided using Zeus’ triumphant battles because without knowing mythology, Zeus’ role as a powerful warrior using his lightning bolts overshadows his moral failings as a husband. I want to know am I not good enough for you Zeus, king of Olympus? Looking other places to satisfy your needs, but then you come back to me? If I wasn’t queen of Olympus I wouldn’t be with your sorry self. What are my flaws? What is wrong with me that you won’t be faithful? I give you all my love and affection, but you keep looking elsewhere. Why do I deserve this? What did I do to you? I loved you and took care of your children, Hebe, Eileithyia, and Ares. You egotistical bastard! You ran around sleeping with other women. Zeus you dumb bastard, you slept with Metis who was prophesized to give birth to a child even more powerful than you! After you slept with her, you ate her, but you still gave birth to the baby , adding a child that is not mine to the list of things you have messed up on. Don’t expect me to take care of her like she is my own baby because I won’t, you......

Words: 653 - Pages: 3

Free Essay

Essay - Me and Dave and Mount Olympus

...Can one experience alter a person´s view on human equality? According to the successful and prominent author Michael Faber it can. In 2006 he wrote a personal essay named “Me and Dave and Mount Olympus”, in which he depicts a specific and life-changing incident with a homeless person, which changed many aspects of his own life. Until the meeting in the homeless shelter, Michael Faber is in an ivory tower and sees himself as “on top of Mount Olympus” looking down on the human race. His arrogance disappears after the intense meeting, where Michael Faber discovers, that both of them are equals in the eyes of the universe. Michael Faber´s reliability is strengthened by the fact that this is an authentic story, and he really did become a famous author later on in life. He can use the story as a foundation for his claims. Michael Faber´s main claim is to enlighten the readers and perhaps persuade and encourage the readers to review how they look at other human beings. It explains through intelligent language and use of metaphors, how his animalistic meeting with a bum named Dave taught him that everyone is equal. Even though “Me and Dave and Mount Olympus” is a personal essay, it still has the classic home-away-home structure. We hear about his life before, during and after his encounter with Dave. The reason why we hear about Michael Faber´s life before and after the incident is, because we need to get to know him in order to understand his mentality and his situation. Back......

Words: 1212 - Pages: 5

Free Essay

None

...numerous products within the Olympus Corporation. In order to help benefit the company I believe it would be in their best interest to have at least two separate mission statements: the one shown above and one specifically regarding their electronics. When navigating throughout the company’s website I initially thought I was looking up the wrong ‘Olympus’ due to their lack of product line display. I had to reroute to a website within their electronics, which lacked a mission statement. It would be beneficial for consumers to read about exactly what they are looking for within the company, such as a camera. 1. Target Market The target market I hope to reach is within an already existent electronics company. At this point it is unrealistic to reach consumers as individuals. It is extremely rare to find someone who carries around a camera AND a smart phone, with a camera already built in. My plan is to target those smart phone providers: Apple. The iPhone phase is rapidly diminishing. One of the contributing distributors is the inability to compete with other smartphone cameras. Since Olympus has been around 1030’s the company has flourished, inside and outside it’s electronics department. I strongly believe this goal is realistic and give their reputation the boost it needs to take on another year. 2. Brand Story Olympus contributes their tradition of quality manufacturing to the development of its microscope. Starting in 1934 Olympus continued this tradition......

Words: 1169 - Pages: 5

Free Essay

Khanki

...brand who are launching DSLR camera regularly. Now DSLR camera is not just a camera it’s a part of our life style. Competition in cameras look, lenses, functions, image quality and many more. Key competitors include: * Nikon. Nikon is the main and strongest competitor of canon. It offers various dslr camera for professional photographers as well as beginner photographer. Nikon divide their camera in 3 category D, E and N. It produces very light weight camera which is in between 475 to 1220 gram. Nikon lenses are known for their color rendition, contrast, and sharpness, as well as for the Vibration Reduction (VR) feature available on some models. Nikon produces prime, zoom, macro and many other lenses. * Olympus. Olympus Japan based camera manufacturer. Olympus latest product is E-5. It has Maximum reliability, superb image quality, cutting-edge creative features. Engineered a resilient splash- and dustproof magnesium body and a 3" swivel display. It has 12.3 Live MOS Sensor and TruePic V+ processor. * Fujifilm. FUJIFILM Corporation (President: Shigehiro Nakajima) is delighted to announce the new lineups of the premium compact digital camera “X” and FinePix digital camera series. The wide range of new lineups will provide customers even more convenient solution from capturing to sharing, professional to simple point and shoot, and satisfy and amaze all customers around the world with their exciting photography life. FUJIFILM X100S — new all-black version of the......

Words: 502 - Pages: 3

Free Essay

Fraud

...Olympus Accounting Fraud ACTG 6100 Professor Mark Jobe Feb. 18, 2014 Inhwa Kim M01243678 The Olympus has a pretty strong position in the camera market. This company is popular because they made the world’s first DSLR (Digital Single-Lens Reflex). Many camera users who are located in all around the world prefer the Olympus. Also, the Olympus is popular because the company made the medical devices, endoscope which is able to watch inside the organ of human body. The Olympus, which is one of the popular camera and medical devices companies, had been troubled due to a financial scandal. On August 2011, Michael Woodford, the formal president, was separated from the Olympus because of the difference in business line despite thirty years at the company. He expressed concern about possible inappropriate acquisitions and large payments to financial advisors with the chairman of Olympus and an executive vice president. He claimed that the Olympus paid an unusual fee abnormally while buying Gyrus, which is a maker of the British medical devices. After arguing this problem, he was dismissed on Oct 14, 2011. Also, in the same year, the Olympus spent about 687 million dollars as advisory fee to the Cayman Islands and another in New York. These two companies are unknown. Thomson Reuters reported that the fee of 687 million dollars, equal to 31 percent of the Gyrus acquisition price, was paid to a middle-man, whereas this is usually 1 or 2 percent. The......

Words: 1074 - Pages: 5

Free Essay

Olympus Scandal Case Study

...Olympus cameras began business in 1919 as Takachiho Seisakusho, a thermometer and microscope manufacturing company in Tokyo. It was renamed Takachiho Optical Co. in 1942 and later Olympus Optical Co in 1949, taking its name from its trademark logo, and reflecting the fact that optical products had become the core of company. Today, Olympus’ key business segments include medical imaging equipment, consumer electronics, industrial imaging equipment and scientific devices, including microscopes. Olympus’ downfall began when new CEO Michael Woodford was fired just two weeks after being appointed to the position. He had voiced concerns over corruption in upper management at Olympus, which was later revealed to be a complex, 20-year long, cover-up of losses amounting to $1.5 billion (US) in unreported investment losses. Olympus had invested heavily in risky securities after slow sales and the devaluation of the yen had resulted in lower than expected revenues. These losses, while known to management, were hidden in the accounting of Olympus. Michael Woodford’s dismissal resulted in him leaking the fraud to the press, which began police and other law enforcement agencies’ investigation into the allegations. The company later admitted the fraud, and since then several board members have resigned, and a number of companies have filed suit against Olympus. What these executives had orchestrated was a complex funnelling of money through subsidiaries in order to bury investment......

Words: 860 - Pages: 4

Premium Essay

Heracles to Hercules

...because of its meaning, Glory of Hera. The significance of Hera despising Heracles shows in Greek mythology the nature of the Gods. It shows us how Hera reacted when she was jealous or enraged with Zeus for having a child with another women. In Disney though, the significance of changing was to show that Zeus was not promiscuous and remained loyal to his wife which is the opposite of what he is presented as in Greek mythology. As well as, Disney presenting a positive mother figure for it’s young audience. In the film, Hercules is born a god making him immortal. However, in the original story he is neither born on Mount Olympus nor born Immortal. After his birth in the film Hercules is kidnapped and taken from Mount Olympus to be turned mortal so he can be killed. Again, this is not how things occurred in the myth. Heracles was born a mortal not on Mount Olympus. When he was born on earth Hera becomes so enraged that she sends snakes to kill Heracles. We see a similarity in the film when Hercules is turned mortal by his kidnappers, Pain and Panic, who are sent by Hades, who turn into snakes to try and kill him but similar to the myth we see Hercules strength for the first time when he fights off the snakes. In the movie, this is how we know that Hercules was not turned completely mortal and he maintained his super strength. Every Disney movie has its villain and Hercules is no exception. When introduced, Hades is seen as an evil figure as being the god of the Underworld.......

Words: 1479 - Pages: 6

Free Essay

Business

...American Journal Of Business Education –Fourth Quarter 2014 Volume 7, Number 4 Olympus Imaging Fraud Scandal: A Case Study Dennis Elam, Texas A&M University-San Antonio, USA Marion Madrigal, Texas A&M University-San Antonio, USA Maura Jackson, Texas A&M University-San Antonio, USA ABSTRACT This case examines the two decade long tobashi scheme by Olympus Imaging Executives to hide $1.7 billion in losses. In the 1980s, a soaring yen and falling dollar caused bottom line income problems for many Japanese companies. Some companies sought to offset the declining revenue with zaiteku, a form of speculative investment. While early activities generated profits in 1987, by 1991 Olympus recorded 2.1 billion losses in yen. Rumors circulated that by the late 1990s, losses had grown larger. Rather than come clean and admit the losses, management continued to ‘double down’ with riskier investments. Olympus created a tobashi scheme to shift losses off the Olympus balance sheet. Olympus created a tobashi scheme to shift losses off the Olympus balance sheet. Companies located in the Cayman Islands were purchased via exorbitant Management and Acquisition Fees. When the first Western President, Michael Woodford, questioned these practices, he was fired after two weeks on the job. Woodford became perhaps the first CEO ever to blow the whistle on his own firm. The subsequent scandal brought arrests of the executive team, an 80% decline in share price, the threat of de-listing on the......

Words: 5012 - Pages: 21

Premium Essay

Me and Dave and Mount Olympus

...dressed myself from charity shops, right down to the socks and underpants. I didn’t own a watch or a television, got around by bicycle, cut my own hair, and was not acquainted with any person who owned albums by Billy Joel, Bruce Springsteen, Sade or Spandau Ballet. (Maybe it was because the few friends I had were lesbians.) The prospect of buying that newfangled invention, a CD) player, was as remote as investing in a Picasso. A high-flying career in the corporate sphere, or a steady job of any kind, held no attraction for me. Who needs money when so much of the food in supermarkets is exactly the right shape to fit down the front of one’s trousers, hidden by a loose jumper? Who needs status when one is an Artist, already living on Mount Olympus? At the dawn of the 1980s, my first wife and I were in fact living in Fitzroy, a shabby inner suburb of Melbourne, Australia. Both of us were writers, misfits, snobs. In the grand intellectual tradition of Wyndham Lewis, Sylvia Plath, TS Eliot et al, we detested the common horde - lowbrow Philistines, the lot of them! We lurked in our tiny student flat, reading Four Quartets and In Memoriam, admiring shoplifted art books, discussing each other’s poems, and avoiding contact with the polluted sea of humanity around us. Eventually, my wife found herself hankering for Winchester, her childhood home, and we decided to emigrate. England, after all, was the epicentre of high culture. It was where Tennyson and Virginia Woolf were from.......

Words: 2599 - Pages: 11

Free Essay

Human Resource and Change

...Olympus – A time for change Melissa C. Figueroa Grand Canyon University Organizational Behavior and Management July 22, 2011 Olympus - A time for change. The company that I chose to write about, that I believe needs desperate change when it comes to not only to appeal to the consumer but as well to the employees of their company is; Olympus. Olympus has been around since 1919, and has paved the way for several things including their digital cameras, their microscopes, and their medical equipment (endoscopes). Olympus has such seniority over so many companies because of how long it’s been around, and has the potential to be one of the greatest camera companies if only they would just perfect their marketing strategy. It seems to most consumers as well as to their own employees that Olympus doesn’t even have a marketing strategy in that sense. They are failing because it seems as if there’s no plan. Olympus recently just laid off around 4,000 employees, and their total employees before that was 3.2 million worldwide. Now, tell me how is that possible to a company who is the world’s fourth largest digital camera industry? The answer to that question is simple; they have no marketing strategy! Olympus is laying people off because of the marketing department, however it’s not the camera departments fault for lack of sales. You can the most amazing products in the world but if you’re not marketing them properly, they’ll never sell and they’ll never be heard of. In......

Words: 1168 - Pages: 5

Premium Essay

Volcanoes

...(USA). A gorgeous National Park to visit. 3) Olympus Mons on Mars. All of these volcanoes have similarities and differences. As with any analysis of volcanism, it generally comes down to crustal chemistry and the sources of the magma that erupts. Compare the volcanoes using these questions. Perhaps make up a table... a) How did these volcanoes form? Plate tectonics? Plume? How do we know? Reunion | •This was formed from a mantle hot spot. •3 calderas formed 250,000, 65000, and 5000 years ago by slumping of the volcano. | Yellowstone | It all started with a hot spot beneath Yellowstone. Approximately, 600 thousand years ago the hot spot released hot magma towards the surface and pushing the earth’s crust upwards thus creating a large chamber which was filled with magma. Cracks formed over time due to the large pressure inside the dome and a huge eruption expelled magma, emptying the top part of the chamber. Earth’s crust collapsed and formed a caldera. Magma kept flowing into the caldera for the next 500 thousand years. | Olympus Mons | Olympus mons formed by hot spot plume. - no tectonic plate movement Unlike earth with tectonic movement where the hot spot moves from one area to another, causing creation of multiple volcanoes ( Hawaii). The hotpsot on Olympus mon is stagnant, when lava flows to the surface, it continues to pile up in a single spot. Instead of a chain of volcanic islands, large volcanoes such as Olympus Mons form. | b) How long have these......

Words: 858 - Pages: 4

Premium Essay

Me and Dave and Mount Olympus

...Michel Faber Me and Dave and Mount Olympus (2006) I lived through the 1980s, but was not touched by them. They might as well have been the 1880s, for all the notice I took of the defining characteristics of the decade. I didn’t own a wide-shouldered jacket with rolled-up sleeves, a double-breasted suit, or indeed any item of clothing that cost more than a pot plant. I dressed myself from charity shops, right down to the socks and underpants. I didn’t own a watch or a television, got around by bicycle, cut my own hair, and was not acquainted with any person who owned albums by Billy Joel, Bruce Springsteen, Sade or Spandau Ballet. (Maybe it was because the few friends I had were lesbians.) The prospect of buying that newfangled invention, a CD) player, was as remote as investing in a Picasso. A high-flying career in the corporate sphere, or a steady job of any kind, held no attraction for me. Who needs money when so much of the food in supermarkets is exactly the right shape to fit down the front of one’s trousers, hidden by a loose jumper? Who needs status when one is an Artist, already living on Mount Olympus? At the dawn of the 1980s, my first wife and I were in fact living in Fitzroy, a shabby inner suburb of Melbourne, Australia. Both of us were writers, misfits, snobs. In the grand intellectual tradition of Wyndham Lewis, Sylvia Plath, TS Eliot et al, we detested the common horde - lowbrow Philistines, the lot of them! We lurked in our tiny student flat, reading......

Words: 2598 - Pages: 11

Premium Essay

Moral Hazard

...to strive for rapid improvements in business performance and payment of wages at the expense of their development in future years Olympus Case Olympus story begins with the common problems we face the Japanese managers since the mid-eighties. The problems were related to the appreciating yen and maintaining profitability through offensive management of their financial assets. This "creative accounting" has turned out to be ineffective and caused huge losses after the economic breakdown in Japan in the early nineties. Some of these companies received compensation from brokerage firms, which carried out the investments. Many of Japanese companies just postponed disclosure of losses by shuffling the bad and good assets to hide losses. Instead of to disclose losses Olympus, together with external advisors, introduced new accounting standards. They built a complex scheme that allowed to hide troublesome assets in the financial statements without disclosing losses. The situation lasted for many years. A significant event was the publication in 2011 by a small independent magazine "Facta" embarrassing article revealing huge losses Olympus. Michael Woodford, president of Olympus, commissioned PwC audit of the finances of the company. After confirming the information relating to losses Woodford demanded the resignation of the entire board of Olympus. Instead of it, on October 21, 2011, during a special meeting of the board, Woodford was fired. Woodford revealed the facts to......

Words: 871 - Pages: 4

Premium Essay

Master Essey

...give me the ability to advance my career with Olympus America. As a father, I feel it is my responsibility to set a good example. This year I finished my dream of becoming a college graduate and setting a standard for my children to follow. My children and I have talked about furthering my education and how important it is to get the right education. Another aspect of being a parent is making sure my children understand that it is never too late to follow your heart. Ever since I have had children when I need to be inspired I look towards my kids. My oldest son has Crohns and I have never really seen him down. He has been dealing with the effects of Crohns since he was 12. He has to have a Remicade Infusions every two months and I have never heard him complain. He the strongest person I know. Now that he is in college I want to make sure he keeps succeeding in his life. I have been able to use his success to motivate me. When I started back in college I wanted to show him no matter what is happening in your life he can obtain a degree. I finished with a GPA of 3.8996. In 2009 I was selected to go to Japan because I had the highest increase in service contract in all of Olympus. While I was in Japan I was able to watch and learn how they interacted with each other. I also was able to explain how I interact with my customers. e has neve My career goals are to be able to advance my career within Olympus America or to be able to attain a career where...

Words: 915 - Pages: 4

Free Essay

Olympus

...businessweek.com/news/2012-01-10/olympus-sues-president-18-other-executives-over-fraud.html# Olympus Sues President, 18 Other Executives Over Fraud By Naoko Fujimura Jan. 10 (Bloomberg) -- Olympus Corp. said it is seeking damages from its president, Shuichi Takayama, and 18 other current and former executives over their roles in a $1.7 billion cover-up of losses. The Japanese camera maker’s auditors filed the claims at the Tokyo District Court on Jan. 8, Olympus said in a statement today. The company’s shares surged as much as 28 percent on investor optimism that it would keep its listing on the Tokyo Stock Exchange that had been under threat because of the fraud. Olympus managers involved in the scheme to hide investment losses over more than a decade caused 86 billion yen ($1.1 billion) in damages to the company, according to the findings of an independent panel released today. Former President Michael Woodford, who was fired after he challenged the board on takeover and accounting practices, is also taking legal action against the company over his dismissal. “It’s all part of the natural fallout to be expected with each party trying to stake their positions and to protect their legal interests,” Eugene Tan, assistant professor of law at the Singapore Management University, said yesterday following Japanese media reports that the lawsuits had been filed. “We’ll see suits and countersuits taking place in the next couple of weeks, if not months.” Olympus climbed 21......

Words: 975 - Pages: 4