Vida Gas Village Reach The Mozambican Foundation For Community Development Joint Venture Case Solution

Its social mission to provide equipment and services to support the ministry of Health, against which it received a less amount of funds, further strengthens the case. Furthermore, the focus of Palm Finance is in promoting sustainable growth for enterprises. Since Vidagas has been unsuccessful in earning sustainable profits; the partnership would yield fruitful results for the Vidagas.

The return on sales for Vidagas can be seen to be negative from 2005-2008, however, it follows a rising trend, reaching from a low of -118% in 2006 to -47% in 2008. Apart from this, the return on assets also showed an improving trend as it increased from -44% in 2008 to -15% in 2008. Both the ratios reflect Vidagas's move towards profitability as it was effective in managing its costs by shifting the price rise to the hotels who earned high margin due to a boost in tourism.