ACCOUNTING ANALYSIS

Accounting project

Introduction2

Rational for choosing Information technological industry2

Rational for choosing British telecom, Vodafone, and Kcom group2

Rational for using financial and non-financial ratios4

Aims and objective of the report5

Competitive analysis of the industry6

Pest analysis of UK information technological industry7

Political factor7

Economical factor7

Social factor8

Technological factor8

Financial analysis of the industry9

British Telecom9

Vodafone10

Kcom groupTelecom10

Conclusion10

Accounting project

Introduction

Rational for choosing Information technological industry

The primary objective of choosing Information technology industry for this project is that it is considered as the focal point of human everyday life and is importance is understood from the fact that it is considered as the core element of every business that is operating within and outside the country (Birke & Swann, 2006, pp. 65-84). Furthermore, the magnitude of information technology industry is very vast, as it comprises of various other industry including (Computer programming, gaming, consultancy, networking, processing and others).

Figure 1: UK IT industry overview (Bloom et al, 2009, pp. 40-55)

Another important reason of selecting this industry is that according to industry experts it is expected to grow almost five times faster than normal growth percentage of UK (Hess & Coe, 2006). In addition to this, these industries is viewed as heaven for fresh graduates as it provides them the opportunity of earning progressive amount of salary at the start of their professional career and endow fresh graduates with unlimited scope of advancing in their professional careers.

In prevailing economic condition where almost every industry is performing its business, operation in condition of economic uncertainty which has prompted them to stay away from major investment, extensive developments and investing in risky projects. In recent years firms operating in IT industry of United Kingdom has come across with similar sort of issues which has prevented these companies from taking innovative actions or adopting new technologies for the enhancement of their product and service (Börsch, 2004, pp. 593-612). On the other hand, increasing issues of privacy has a negative impact on its overall performance and all the companies are striving hard to overcome these issues on priority.

Rational for choosing British telecom, Vodafone, and Kcom grouptelecom

In light of the above discussion it is crystal clear that information technology industry of United Kingdom is highly competitive and it comprises of some of the biggest players of IT that have played an important role in changing the structure of information technology of the globe. Among these highly competitive companies, I have selected British telecom, Vodafone, and Kcom grouptelecom for this assignment.

The primary objective of selecting British telecom is its ability of providing quality product and service to its loyal customers of the country but its ability of meeting the needs of its diversified customer portfolio that is spread over 170 countries of the globe (Börsch, 2004, pp. 593-612). In addition to this, over 18 million customers present in UK know company through its global services as the largest supplier of telecommunication products to various governmental organization of the globe, and the largest retail supplier (British Telecom, 2013, pp. ...