BSG Final Exam Version 1 (New 2024/ 2025 Update) Questions and Verified Answers| 100% Correct | Grade A
QUESTION
A company's strategy to be a
... [Show More] low-cost provider of branded footwear can fail to produce good company performance when managers fail to
Answer:
achieve branded cost per pair sold ( including manufacturing cost , shipping cost , import tariffs and exchange rate adjustments) that are at least close to the industry low in each geographic region , if not actually equal to the industry low
- managers do not operate the company's plants cost efficiently and achieve manufacturing costs per branded pairs slod that - if not equal to the industry low in each geographic region - are at least close to the industry low in each geographic region
QUESTION
In which one of the following instances do the industry-low, industry-average, and industry-high values for the cost benchmarking data in each issue of the FIR signal that one or more elements of a companys costs are likely to be too high relative to those of rival companies?
Answer:
when the company's operating profitt per pair sold in the Internet and Wholesale segments are the lowest in the industry in all four geographic regions
QUESTION
which of the following actions is unlikely to help boost a company's market share in all 4 regions
Answer:
pursuing efforts to boost labor productivity at each of the plants
QUESTION
which one of the following actions is LEAST likely to increase labor productivity by an amount that is large enough to result in lower labor costs per pair produced
Answer:
increasing worker base pay by the allowed maximum of 15% each year untill the companys base pay compensation per employee exceeds the total compansation per employee of all comp in industry
QUESTION
the plant upgrade option that reduces production run setup costs by 50 each year and costs 8 million of plant capacity and causes depreciation costs to rise by 5% merits immediate consideration by comany managers when
Answer:
the company has a new 1 mil plant in Europe-Africa ready to go into production in YR14 and the companys strategy calls for this plant to produce 500 models whith set up costs of $14 mil/yr through yr 20
QUESTION
The industry-low, industry-average, and industry-high benchmarks for the costs per branded pair sold in each geographic region (including production costs, ...warehouse exp, marketing, admin, that appear in FIR?
Answer:
- are worth careful scrutiny by the managers of all companies becausee....
-are worth high and careful scrutiny by the managers of all companies in the industry. This is because when the benchmarks signal that the operating data for a company is out of line or do not meet expectations, the managers have to take corrective actions.
QUESTION
While contracting with celebrities to endorse a company's brand adds to the competitive power of its product offering vis-a-vis the offerings of rivals,
Answer:
-One of the big risks of bidding to win... is that it is easy to end up overspending to win a contract because it is so hard to judge just how big the actual benefit of winning the contracts for a ..prove to be
-that it is hard to come up with a reliable estimate of the size of the sales volume/revenue/ profit payoff associated with signing a celebrity and thus avoid bidding more than the celebrity's endorsement is worth".
QUESTION
A Company's Managers should Give Serious Consideration To Bidding For A Private-label Footwear Contract In A Particular Geographic Region When
or
Under what circumstances should a company's managment team give serious consideration to entering a bid to supply private-label footwear to chanin retailers in a particular region?
Answer:
-they expect to have idle production capacity at one or mre plants after producing all the branded pairs needed to meet demand in upcoming yr
- avg margin over direct cost exceeds $10/pair sold
- when number of pairs of branded footwear that comp panning to produce at particular plant is 300,000 pairs or more below the plant's full production capacity inc. overtime
QUESTION
which one of the following does NOT help boost a company's image rating?
Answer:
-paying total compensation to plant employees that is below the industry average
-Spending additional money on celebrity endorsements and advertising to help inform the general public about the company's good deeds in being a good corporate Citizen and its socially responsible activities.
QUESTION
The most attractive way to reduce or eliminate the impact of paying tariffs on pairs imported to a company's distribution warehouse in LA
Answer:
build a plant in LA and then expand its capacity as may be needed so that the plant has the capability to supply all of the pair comp intends to sell in LA
QUESTION
profit-enhancing appeal that a company can pursue to reduce its exposure to adverse exchange rate adjustments to the manufacturing costs of pairs shipped to a distribution warehouse form a plant in a diff geog region is to
Answer:
-build sufficient pant capacity in each of the 4 regions to greatly reduce the need to ship pairs to a distribution warehouse from a plant in a different geographic region - sucha strategy...benefit of cutting tariff [Show Less]