Strategic Initiative Paper Essay Example | Topics and Well Written Essays - 250 words

Strategic Initiative Paper - Essay Example The higher current ratio than that of the industry implies that the company was able to improve its current assets, and reduce its current liabilities compared with the history of the industry. The company’s cash ratio remained relatively stable with other ratios recorded by companies in this industry at 0.3 (30%). This shows that the management was in a position to manage its cash assets and liabilities well, maintaining an equivalent ratio with that of the industry (Air investor 2014: A special supplement, 2014). The company’s operating margin ratio remained relatively stable at 0.08 (8%) compared with that of the industry which was recorded at 0.78 (7.8%). The stable operating margin meant that the company was able to generate enough income from sales that have aided the company’s business. The company’s profit margin ratio was recorded at 0.05 (5%) for the year 2012 and 2013 compared with that of the industry which was a little lower at 0.04 (4%) (2013 world airline report, 2013). This relatively higher profit margin shows that the company was able to gather reliable income from