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Business Risks Of Sainsbury 's Company Essay

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J Sainsbury plc is the third largest supermarket in the United Kingdom. J Sainsbury plc is engaged in retailing and retail banking. The Company includes Retailing, Financial services, and investments. The company offers different kinds of groceries, for example, fruit and vegetable, meat and fish, baby and household. Sainsbury 's Bank provides lots of products, such as insurances, credit card and loans. Not only risk profile analysis and value analysis of the Sainsbury’s could help people to decide whether people can trust the company and buy stocks, but also it is beneficial to Sainsbury’s understand the company 's operation status. So it is necessary to analyse risk profile and value of the Sainsbury’s company. This essay will focus on the analysis of the agency problem on Sainsbury’s company, analysis of the business risk of the Sainsbury’s company, analysis of the financial risk of the Sainsbury’s company and analysis of the Sainsburys company’s value. this essay will provide some possible solutions to this issue. This essay will attempt to show that the Sainsbury’s company and provide some recommendations in order to develop better. Analysis of the agency problem on Sainsbury’s company Agency problem is a potential conflict between the agent and shareholders in the interest. It is shown that ownership is separated from management. This cause not only is the divergence of ownership and control, but also the information is asymmetrical. When ownership is separated

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