The final project for this course places you in the role of a financial analyst for the fictional New Heritage Doll Company. You have
been tasked with evaluating the financial and strategic merit of two capital budgeting investment projects. To begin this process, you must clearly understand
the project options at hand and be able to discern the key factors that may influence your final decision. Often, firms like the New Heritage Doll Company are
faced with similarly lucrative investment opportunities, but they must go through the due diligence of weighing the various advantages and disadvantages. This
project will guide you through that process and will encourage you to consider the potential benefits and risks, as you would for any capital budgeting decision.
Prompt: Carefully read the Harvard Business School case study about the New Heritage Doll Company. Once you have read the case study, answer the following
questions:
Clearly identify which one of the following two projects appears to be the most promising venture, upon initial review:
o Expansion of the successful “Match My Doll Clothing” line
o Initiating a new “Design Your Own Doll” line
Offer three distinct and well-articulated reasons for your assessment.
After your journal response has been submitted, you will receive instructor feedback that will guide your work in the upcoming milestone assessments.
