Kb Home Business Level Strategy Term Paper

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The operations in terms of elements like supply chain, outsourcing and location of operations are clearly based/focused on areas wherein they have built up their strengths over a considerable period of time. The company began as Kaufman & Broad in 1957. (KB Home Customers Find FTC Penalties Inadequate) However over the last five years, the Earnings per share of the company had grown by 22.29%, it has had dividend growths at the rate of 26.41%. Thus it is considered as a company with have a built in speculative element of streak. This is also being shown by the price of the share which is $75.91, whereas the book value is only $24.66. (KB Home (NYSE: KBH): (www.forbes.com) After all, one should understand that the real estate prices do not shoot up and high prices may exist due to some speculative influences which are trying to take over the company and this is being done without evaluating the consequences. There are several angry homeowners who have used the Web for the sake of protest, and use sites having names like KB Homes Suck and KB Home Stink in order to tell their stories.

3. The answer for all home builders is the same and the definition has been given here for this organization as "It engages in the acquisition and development of land primarily for residential purposes.

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" (Profile: KB Home) Thus the main objective here in terms of collecting titles to land that would be suitable for development. This company also takes up land which is unsuitable and thus gets sued by one of the colonies it built in, like that of Arlington with 64 owners taking up the entire action and demanding an amount of $65 million as being reported on 9 November in the year 2001. (Arlington residents sue KB Home) This was bomb contaminated land and sold to the buyers without information.

4. The company has a simple strategy of trying to make as much money as it possibly can and for that purpose, it has a very highly paid chief executive. (Profile: KB Home) Whether this strategy has been agreed on or not can only be stated by a member of the board. Till now it is doing well in terms of raising the share price levels.

5. In terms of share prices it is doing extremely well, and what is not known is how long this situation will last. Probably a little more honesty will be valuable in the long run.

Part II. Corporate Strategy

1. The company.....

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"Kb Home Business Level Strategy" (2005, September 19) Retrieved May 11, 2024, from
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"Kb Home Business Level Strategy", 19 September 2005, Accessed.11 May. 2024,
https://www.aceyourpaper.com/essays/kb-home-business-level-strategy-67284
   

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