Domino’s Pizza Enterprises: Weighted Average Cost of Capital (WACC)
This case was written with support from Domino’s Board Chair Mr Jack Cowin, CEO Mr Don MEij, and CFO Richard Coney, who served as the ‘protagonist’. The case was set during COVID when the company was planning substantial investments in response to the World Health Organization’s recommendations. This case has been a favourite with MBA students worldwide who were tasked with putting themselves in Mr Coney’s shoes. They understand the need to use judgement beyond putting numbers into a formula understanding that a few per cent difference could mean a swing in millions of dollars in expenditures. To date, the Domino’s WACC case has been used in 28 different countries, demonstrating the strong global interest in Australian cases.