Profico: The Way Forward
Profico Trading and Contracting Company WLL, an aluminum and glazing contracting company in Lebanon, assembled and installed aluminum and glazing doors and windows and aluminum composite panels for local construction projects. The company's revenues had increased over the years, but over the previous four years, revenues had declined, largely as a result of regional political turmoil that affected the construction industry. The management team was contemplating an opportunity to invest in a production line that would expand the company's scope through backward integration, conceivably increasing the company's revenues by 40-50 per cent. Was the investment worthwhile in the context, and if so, how might the company finance it? Marina Apaydin is affiliated with American University of Beirut.