Under Armour's success and risk factors

This accounting report addresses the success and risk factors facing Under Armour in the financial period of 2016. Through examination of various online sources properly cited and referenced in APA, the writer established that the focus of the company at this time is to expand its international presence, diversify its product portfolio, and increase revenue generation. The company, therefore, adopted an aggressive risk approach with more focus on long-term growth at the expense of short-term profitability. The company takes advantage of its physical resources to establish regional hubs that will help it achieve its globalization goals. These hubs will help grow the e-commerce sector and increase revenues generated from the direct-to-customer segment. Based on these strategies, it is projected that the company will maintain its annual revenue growth of 27% for the next three financial periods. Assuming other factors remain constant, the company will manage to grow its profitability over these periods.

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