Strategic Planning - My Superior Paper

Why do public utility companies usually have capital structures that are different from those of retail firms?
Why are earnings before interest and taxes (EBIT) generally considered to be independent of financial leverage? Why might EBIT be influenced by financial leverage at high debt levels?
Why is the bond market so sensitive to interest rates? What is the mathematics behind this relationship? Do a Google search to find a corporate bond issue where the company has either defaulted on the payments or called back the bonds.
What is Strategic Planning?

• Strategy: broad and general plan developed to reach long-term objectives

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• Strategic planning: long-range planning that focuses on the org as a whole

How Long Into the Future Should Managers Focus? • Long-term strategic planning = 3-5 years into the future

• Commitment principle: managers should commit funds for planning only if they can anticipate a return on planning expenses as a result of long-term analysis