Problem
There are income statement and balance sheet for one of your competitors - Compu Sensor. The Company suffered from radical decreases in net profit margin for year 3 and year 4. The market situation during the two fiscal years was not favorable to incumbents as more people were worried about safety issues of auto-driving cars. With the market information (i.e., decrease in market value) and the income statement and balance sheet given to you, discuss the strategic mistake its executive managers made. (Word limit: 300 words) Be sure to use at least a financial ratio such as profitability, liquidity, activity, or leverage ratio to discuss more logically. Otherwise, you will lose a point.