ur topic is Facebook.

My part is Macroeconomic Environment/Outlook and industry environment/outlook (details requirements in corporateresearch_termpaper.doxc)

2-3 pages on my part.

There is 1 sample paper professor want us to read. And paper depend on content of Chapter 9 , I also post 4 documents about chapter 9.

So I hope you read all of those 6 documents whatever its helpful or not.

ERM PROJECT – PRELIMINARY GUIDELINES I. GOALS, EXPECTATIONS AND GENERAL GUIDELINES

1. Purpose: The purpose of this term group project is for the students to demonstrate their ability to use the concepts, tools and methods developed in this course (ECON 483E), as well as other courses, to research and analyze some basic data of a selected public company and, ultimately, estimate the intrinsic value of its share. This intrinsic value, based on the fundamentals of the firm, shall be compared to the book and market values.

2. Assigned Corporations: Either IBM, AMAZON.COM or FACEBOOK←our topic os facebook Each team must select only one of the above companies. Then, the team should research, analyze and report findings on the selected company, using the guidelines provided in this document. The explicit approval of the instructor is required before working on any other company, otherwise a grade of zero (0) will be assigned for the project.

This is a team work. The division of labor among team members is encouraged, but members should consult each other on any aspect of the project and agree on the final output that should reflect collaborative efforts. Even though one member may be responsible for compiling and writing up the final output, the draft should be circulated among all team members who should give their feedback and approval of the final product, which will be submitted as one single and coherent report. Note that communications among different teams to exchange data or any other information about a company is not permitted. Any violation will be penalized by point deduction, at the instructor’s discretion. 3. Due Date: The final output of this project is due no later than 4. Deliverable: The project write-up will have between 5 and 10 pages in length, excluding appendices (e.g., historical and pro forma financial statements, spreadsheet containing your calculations, any pertinent documents, etc.). 1 5. Team: Each Team shall have a minimum of 3 members and a maximum of 5 members. Any exception must be approved by the instructor. 6. Team Members: Each team (designated representative) should email me at a list of team members and the selected company no later than 7. Evaluation Criteria: The project’s final output will be evaluated based essentially on the following items:

(1) The efforts put in collecting, organizing, analyzing and summarizing the relevant data and information; (2) Reasonableness of assumptions used to estimate the company’s share value;

(3) The reasonableness of calculations and analysis. Compare team’s results to historical performance, current information (like share price) and other estimates (e.g., individual or consensus by other analysts (if available). You could also give a range (interval estimates) instead of a point estimate of your company’s value.

(4) Well written report (structure, content, proper use of tables and figures). The narrative must be consistent with your assumptions, calculations, and conclusions.

5) Adequate and verifiable documentation of sources/references of data/information, cited work, and assumptions. 8. Structure of the project: The project write-up will primarily consist of

(1) a one-page “Executive Summary,” which contains all the key findings, (2) the body of the report, where the team addresses as closely as possible the questions asked in these guidelines, (3) the supporting evidences where appropriate, and (4) a “Conclusion” were the team recapitulates the most significant findings and present an overall assessment of the corporation (current and future prospects, which includes the expected intrinsic share value). II. CORE BACKGROUND RESEARCH QUESTIONS 1. Macroeconomic Environment/Outlook A. What major macroeconomic factors and developments (past, current and/or future) are most likely to affect the operations and performance of the company and in what ways? 2 B. Identify whether the company’s operations and profitability are either cyclical or non-cyclical? (i.e., whether its operations and/or profitability are sensitive to business cycles or not.) What is the evidence? 2. Industry Environment/Outlook A. Brief sector / industry analysis – concise analysis of the sector and industry in which the company operates. What is the company’s sector? What is the company’s industry (including industry’s 6-digit North American Industry Classification System – NAICS code)? B. What is the relative importance in the U.S. economy? C. What are the main challenges the industry faces, which may impact the company’s operations and/or profitability? D. What are some future positive and/or negative perspectives on this industry? ↑My part is 1-2 3. Corporate Background A. Present a brief history of the company, including: (1) When was the company created? Any subsequent changes in name or structure? (2) What is the company’s legal structure and/or special status (for tax purposes, for example)? (3) When did the company go public (Initial Public Offering, IPO)? (4) What is the geographic distribution of the company’s activities – domestic (U.S.) and/or international – and their relative importance (e.g., share of revenues by source). B. Company’s main “business model” – briefly describe the core activities of the company and how it generates most of its revenues. Also, identify the firm’s business strategy or competitive advantage. This should include the identification the key drivers or factors for the success or failure of the firm in this industry. C. Corporate Governance Analysis – Is this a company where there is a separation between ownership and management? How is management responsive to stockholders? How does the company interact with the financial markets? How do markets get information on the company? What are the positions, names, and compensation structure of the top 3 key executives (e.g., CEO, CFO, etc.)? [Consult company’s websites and reports filed with the SEC.] D. Stockholder Analysis – What is the breakdown of stockholders in your company (percentage of share ownership of insiders, institutional organizations, individuals?)