When evaluating a company's potential to sustain a competitive advantage in international markets through its 10-K report, which qualitative fundamentals are primarily crucial to assess?
1) Analyze the company's governance structures and policies, including how it manages relationships with stakeholders such as shareholders, employees, and communities.
2) Assess whether these practices support ethical operations and sound management, particularly in diverse cultural and regulatory environments.
3) Examine the specifics of property holdings as listed in the 10-K report as this provides information about the assets owned by the company. This includes real estate, machinery, and other physical assets that could be used to generate revenue or sold in times of financial distress. The location, value, and condition of these properties can also provide insights into the company's financial health and strategic planning.
4) Review how the company generates revenue and assess if its business model is robust enough to adapt to and thrive in diverse international markets. Determine if the company's main revenue streams are sustainable and scalable across different regions.
5) Review the number of global offices a company maintains as this reflects international presence, and shows the company's strategic effectiveness. This includes understanding the geographical distribution of these offices.