Improving Financial Performance Using Capital Budgeting Method Towards Cleaner Eyewear Product: A Case Study of Nasho

  • Mia Juliani School of Business and Management, Institut Teknologi Bandung, Indonesia
  • Raden Aswin Rahadi School of Business and Management, Institut Teknologi Bandung, Indonesia
Keywords: nanotechnology, eyewear product, financial performance, financial planning, capital budgeting


The purpose of this study was to know the factor that can be improved in the financial performance of Nasho. Nasho is a brand that focuses on offering products for eyeglass and helmet application that can be water, dew and dust repellent by utilizing the application of nanotechnology in the scope market of Bandung. However, to adapt the technology for Nasho is currently hampered by the limited capital to develop the technology itself. The company needs to manage the capital and minimize the cost to optimize the finance. The company needs to control the cost and expenses to avoid the high number of costs and expenses in terms of the development business stage. The research will use a qualitative approach by conducting interviews to Mr. Reza optics that will cooperate with Nasho to sell the product and use secondary data information from literature review, journal, books and primary data from financial history of Nasho and survey from the consumer of Nasho namely College student, Medical staff and Motorcycle riders and the components that are relevant to the conceptual framework. Survey used to get the consumer product and buying tendency information from Nasho’s consumer to validate the assumption of brand, price and buying intencity. Interview was conducted to get the suitable number of sales that are being used for cash flow forecasting scenario. The findings of this research is Nasho had low financial performance in the first two years of the business. After the evaluation, this can be improved by making a financial planning mix for short term and long term using the capital budgeting method in the form of three optimal scenarios of cash flow, Net Present Value (NPV), IRR and payback period that can be used as an optimal plan to run this business for the next five years.

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How to Cite
Juliani, M. and Rahadi, R. A. (2020) “Improving Financial Performance Using Capital Budgeting Method Towards Cleaner Eyewear Product: A Case Study of Nasho”, Malaysian Journal of Social Sciences and Humanities (MJSSH), 5(6), pp. 128 - 135. doi: