Capital Investment Appraisal in Retail Business Management: Sainsbury's as a Case Study
17 Pages Posted: 7 Feb 2014
Date Written: February 7, 2014
One can describe Capital investment appraisal as the decision-making process used by organisations in evaluating different investments in order to decide which fixed assets to purchase. The aim of this paper is to critically discuss how business organisations in the retail sector use different methods of capital investment appraisal to avoid fatal mistakes in long term investment decisions especially within the constantly changing modern market. Sainsbury’s is used as a case study owing to its relevance to the present study.
Keywords: capital investment appraisal, budgeting, retail, business management, Sainsbury's, ARR, IRR, NPV, payback, cashflows, cash flows, investment.
JEL Classification: E22, D22, D23
Suggested Citation: Suggested Citation