Financial Valuation Techniques Research Proposal

Financial Valuation Techniques - Research Proposal Example The research will be conducted from the perspective of strategic valuation and financial valuation. Strategic valuation will relate to historical analysis of the companies and application of models like SWOT, Porter's Diamond, Porter's Five Forces Model, Ansoff Analysis and Balanced Scorecard Analysis. Financial valuation shall be related to DuPont Analysis, Key Ratios, Capital Budgeting, and Cash Flow analysis, Income Analysis, Asset Analysis and Market Analysis. The final outcome shall be a critical comparison of future forecasts of the selected companies applying all the theories. The Royal Bank of Scotland (RBS) has global assets which are worth more than $1120 billion. The RBS is the 2nd biggest private bank in Europe, and the 6th biggest in the world. RBS is the 14th biggest company in the world (Forbes Global 2000). Apart from this RBS are an enormously important private investor of oil and gas extraction. This is not only high levels of funding for oil and gas projects, but RBS are 'the oil and gas bank'. They are the central driver of development of the oil and gas industry. The position of RBS on global climate change is far less liberal than many other banks. In spite of stating that the bank "distinguish the considerable global threat laid by climate change", RBS has reported it as 'preposterous' to admit liability for the climate affects ensuing from their loans to fossil fuel projects. Barclays is a financial services group based in UK. It is also an international banking organisation having branches all over Asia-Pacific, Europe and South America. The company is primarily engaged in banking, investment banking and investment management. With regard to market capitalisation, Barclays is one among the top ten banks in the world. Barclays also provides interconnected global services to translational corps and financial institutions all over the world. It is a leading UK retail and business bank with around 76,200 employees and with operations in more than 60 countries. Research Questions The research would help in identifying the following: 1. The role of management in the working environment of both the banks. 2. The major difference in the financial analysis between the two chosen banks. 3. What are the various Valuation Techniques prevalent in the Financial Markets pertaining to the Royal Bank of Scotland (RBS) and Barclays Bank Scope of the Research Study Both the banks have grown to be really big so it is very difficult and complex to study its operations in a comprehensive way. Thus this research study will be limited in its quantitative dimension. The questionnaires and interviews will be conducted by limiting the number of employees of both the banks. Due to limitations of the resources it is not possible to conduct a comprehensive quantitative study. On the other hand, the qualitative dimension of this research project will be much more comprehensive since it is