Introductory description

To provide an ability to read and understand financial data, which is a key skill for all roles within any organisation. Students will benefit from this module by developing an appreciation of the current issues, players & development of the e-business sector and gain an fundamental understanding of the sources of financing for an e-business and the costs/risks of each source. Students will gain a deep understanding of the needs of external stakeholders and of the three key financial statements; the Statement of Financial position, Income Statement and Statement of Cash-Flows, as well as difference between profits & cash and the importance of managing both. They’ll be able to assess the financial performance of an e-business as well as explain a company’s costing structure & methodologies used to cost products & services, in the e-business sector. They will be able to recognise, and develop appropriate metrics for E Businesses, including appropriate boundaries for relevant applications and future development in this area.

Module web page

Module aims

Outline syllabus

This is an indicative module outline only to give an indication of the sort of topics that may be covered. Actual sessions held may differ.

• An appreciation of the current issues, players & development of the e-business sector.
• An understanding of the sources of financing for an e-business and the costs/risks of each source.
• Understanding the consequences of different business structures (e.g. PLC)
• An appreciation of the lifecycle of a business and corporate lifecycles.
• Understanding the needs of external stakeholders and a detailed understanding of the three key financial statements; the Statement of Financial position, Income Statement and Statement of Cash-Flows.
• Understand the difference between profits & cash and the importance of managing both.
• Develop an understanding of the scope, groups and application of ratio analysis as an aid to gauge the financial performance of a business.
• Understand a company’s costing structure & methodologies used to cost products & services.
• Investment appraisal methods & factors (financial/non-financial) when making such decisions
• Explain CSF’s and derive relevant key metrics (results/performance indicators) for a business.
• Framing of decisions and the effective use of quantitative and qualitative data in financial decision making
• Understand the purpose, approaches to and limitations of budgeting.
• Business case derivation and presentation.
• Develop an understanding of the business models canvas and apply it to an e-business. Understanding the importance of pricing, the factors which affect it and numerous pricing strategies businesses use to compete effectively.

Learning outcomes

By the end of the module, students should be able to:

• Critically assess the financial performance of an e-business by analysing its financial statements and performing financial ratio analysis
• Recommend relevant key financial (and non-financial) metrics and indicators for e-Businesses.
• Devise a business model canvas for an e-Businesses; focusing upon the financial elements of an e-businesses cost structure, revenue generation/pricing and its value proposition.
• Create the financial elements of business case proposals for e-opportunities including financial appraisals.

Indicative reading list

Atrill, P & McLaney, E (2011). Accounting and Finance for Non-specialists. London: Pearson Education Limited.
Dyson, J.R. (2010). Accounting for Non-accounting Students. London: FT Prentice Hall
Berk, J. & DeMarzo, P., 2016. Corporate Finance. Fourth ed. Boston, MA: Pearson Education, Inc.
Arnold, A (2013) Corporate financial management. Fifth ed. Pearson Education.
O'Regan, P (2006) Financial information analysis. Second Ed. Wiley.
Chaffey, D (2015) Digital Business and E-Commerce Management. Pearson Education.

View reading list on Talis Aspire

Subject specific skills

Financial, numeracy, organisational, communication, accuracy, teamwork, presentational

Transferable skills

Critical thinking (needed for PMA and IMA)

• Self-awareness
• Communication
• Teamwork
• Information literacy
• Digital literacy
• Professionalism