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A way Circuit City makes sure they maintain there balance is by reinvesting in their business. Founded in 1949, Circuit City was run by Richard L. Sharp, whose computer programming skills helped the company to design a sophisticated inventory system that provided for efficient movement of equipment in addition to trimming shrinkage losses by as much as percent (Gale, 2006).
By developing this inventory system it allows Circuit City to monitor the number of products that are being shipped and sold. If Lawrence Corporation had a type of inventory or internal monitoring system they would be able to maintain some type of balance of how cash flows in and out of the company...
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Common topics in this essay:
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