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Discuss about the need, importance, planning and management of finance for Mercedes.

Need, importance, planning and management of finance:

Financial planning and management within Mercedes is as significant as the same is being prioritised by every company within the similar and different industries. The scope and level of productivity attained across the organisation through effective financial planning and management is considered as the core necessity for successful business operation. It is because these help the company to oversee how its business is performing or rather is expected to perform in terms of effective financial debt, revenue, profit and loss management (Schell, ). One of the major aspects of financial management is based upon the choice or rather consideration of appropriate sources of finances such as crowd funding, business loans, angel funding, and so on.

The decision of choosing a specific yet accurate means of financial source is based on assessment regarding how the company shall be able to expect profitable return by borrowing money from financial sources as mentioned and effectively clearly the debts within the stated time frames (Chemendy, 2018). In the case of Mercedes, when the company decide in launching a new automobile model in the market, the effective financial sources can include financial assistance through business loans from the end of investors and banks or combination of both, depending upon the amount of financial investment required and extent of financial risk the company can undertake for the particular cause.

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