BSG Quiz 1, BUS 490 BSG Simulation Quiz 1, BSG Quiz 1, BSG Chapter 1 Quiz
Which of the following is/are not among the factors that affect worker productivity?
The percentage of newly-hired workers and the percentage use of superior materials
Good strategy and good strategy execution
are the most trustworthy signs of good management
The market for PRIVATE label athletic footwear is projected to grow
10% annually in all four geographic regions during the Year 11-Year 15 period and 8.5% annually in all four regions during the Year 16-Year 20 period
The market for private-label athletic footwear is projected to grow
10% annually in all four geographic regions during the Year 11-Year 15 period and 8.5% annually in all four regions during the Year 16-Year 20 period.
The market for BRANDED athletic footwear is projected to grow
5-7% annually in North America and Europe-Africa during Year 11-Year 15 and 3-5% annually in these regions during the Year 16-Year 20 period.
The company's present production capability (as of Year 10) is
6 million pairs without the use of overtime and 7.2 million pairs with the use of overtime
At the end of Year 10, going into Year 11, the company's production capability was
6 million pairs without the use of overtime and 7.2 million pairs with the use of overtime.
The market for branded athletic wear is projected to grow
9-11% annually in Latin America and the Asia-Pacific during Year11-Year 15 and 7-9% annually in these regions during the year 16-year 20 period
The market for branded athletic footwear is projected to grow
9-11% annually in Latin America and the Asia-Pacific during the Year 11-Year 15 period and 7-9% annually in these regions during the Year 16-Year 20 period.
The market for branded athletic wear is projected to grow
9-11% annually in Latin and Asia Pacific during the year 11 - year 15 period and 5-7% annually in North America and Europe-Africa during the year 11-15 period
Which of the following statements about a company's strategy is true?
A company's strategy is typically a blend of proactive and reactive strategy elements
Based on figure 1.1, which of the following is not something to look for in identifying a company's strategy?
Actions to rise or lower the company's performance targets and actions to pay down the company's long-term debt
According to Figure 1.1, which of the following is not something to look for in identifying a company's strategy?
Actions to strengthen the company's competitive position by hiring one or more new top executives or laying off a portion of its work force or paying down its long-term debt
The company currently has production facilities to make athletic footwear in
Asia-Pacific and North America
Which of the following are the 4 geographic regions in which the company sells branded and private label athletic footwear?
Asia-Pacific, Europe-Africa, Latin America, and North America
Which one of the following is not a factor in determining a company's unit sales and market share of branded footwear in a particular geographic region?
Footwear features and footwear durability
Which one of the following does not affect the reject rates at a company's plants?
The S/Q rating of pairs being produced and the use of plant upgrade option B
Which of the following is not among the factors that affect worker productivity?
Whether plant upgrade option A has been installed
The factors that affect worker productivity include
Whether plant upgrade option D has been installed, the size of incentive payments per non defective pair, base pay increases, how favorably a company's compensation package compares with the industry average compensation package, and expenditures for practices training
A company's business model
sets forth how its strategy and business approaches will create value for customers while at the same time generating ample revenues to cover costs and realize a profit
Which of the following is not an accurate description of your company's plant operations?
A private label footwear is outsourced from contract manufacturers in Latin America and the Asia-Pacific at prices equal to $8 per pair
In crafting a strategy, management is in effect saying
"among all the many different business approaches and ways of competing we could have chosen, we have decided to employ this particular combination of competitive and operating approaches in moving the company in the intended direction, strengthening its market position and competitiveness, and meeting or beating our performance objectives"
Which of the following are components of the compensation package for production workers at your company's plants?
Base wages, incentive payments per non defective pair produced, and overtime pay
Which of the following are components of the compensation package for production workers at your company's plants?
Base wages, incentive payments per non defective pair produced, and overtime pay.
Which of the following are the 5 measures on which a company's performance is judged/scored?
Earnings per share, ROE, Stock price, Credit rating, and image rating
Which of the following are the 5 measures on which a company's performance is judged/scored?
Earnings per share, ROE, stock price, credit rating, and image rating
Which one of the following is not one of the factors that affect the S/Q rating of a company's footwear?
How much is spent to inspect newly produced pairs and avoid shipping defective shoes
Which of the following questions helps distinguishing a winning strategy from a mediocre or losing strategy?
Is the strategy helping the company achieve a sustainable competitive advantage and is it resulting in good company performance?
Which of the following are factors in determining a company's credit rating?
Its debt-asset ratio, default risk ratio, and interest coverage ratio
Which the following are factors in determining a company's credit rating?
Its default risk ratio, debt-asset ratio, and interest coverage ratio
Which one of the following statements about whether a company's strategy can be considered ethical is true?
Just keeping a company's strategic actions within the bounds of what is legal and acceptable to regulators does not mean the strategy is ethical
Which of the following is not something a company's strategy is concerned with?
Management's choice of which of several alternative business models to employ in delivering value to customers and to shareholders
The company currently has production facilities to make athletic footwear in
North America and Asia-Pacific
The company currently has production facilities to make athletic footwear in
North America and Asia-Pacific.
Which the following are the four geographic regions in which the company sells branded and private-label athletic footwear?
North America, Latin America, Asia-Pacific, and Europe-Africa,
Which of the following is/are not among the factors that affect worker productivity? (same as 9?) **LOOK into
S/Q Ratings and the warranty claim rate on recently sold footwear
Which of the following currencies are involved in affecting the operations of your company's athletic footwear business?
Singapore dollars, euros, U.S Dollars, and Brazilian reals
Which of the following currencies are involved in affecting the operations of your company's athletic footwear business?
Singapore dollars, euros, U.S. dollars, and Brazilian reals
Which of the following best describes the materials the company uses to make its footwear?
Standard and superior materials
Which of the following most accurately describes your company's plant operations?
Standard and superior materials are sourced from outside suppliers at prices that vary according to global demand-supply conditions; the company's production workers are compensated on the basis of both base pay and incentive payments per non-defective pair produced.
Which of the following currencies are NOT involved in affecting the operations of your company's business
Swiss francs, south African rand, Chilean pesos, and Turkish lira
Which of the following most accurately describes your companys plant operations?
TQM/Six sigma quality control programs and best practices training are used to boost the S/Q ratings of both branded and private label footwear
Which of the following is not an accurate characteristic of your company's plant operations?
The company makes most all of its footwear materials and components in-house, uses 100-person assembly lines to make branded shoes at the rate of 500 pairs per day, and outsources private-label footwear from contract manufacturers in the Asia-Pacific.
Which of the following is the most important factor in determining a company's unit sales and market share of private label footwear in a particular geographic region?
The company's bid price
Which of the following is the most important factor in determining a company's unit sales and market share of private-label footwear in a particular geographic region?
The company's bid price
Which one of the following does not affect the reject rates?
The installation of plant upgrade C
Which of the following is not one of the reasons that a company's strategy evolves over time?
The need on the part of company managers to make regular strategy adjustments so as to avoid the risk that rivals might soon find ways to weaken or defeat its present strategy improvements of their own
A company's strategy is a "work in progress" and evolves over time because of
The need to react and respond to changing market and competitive conditions and ongoing management efforts to improve this or that piece of the strategy
Which of the following is NOT a factor is determining a company's unit sales and market share of branded footwear in a particular geographic region? (DO NOT confuse with question 15)
The number of new performance features built into each year's models/styles
Which one of the following is not a factor in determining a company's unit sales and market share of branded footwear in a particular geographic region?
The number of new performance features built into each year's models/styles
Which one of the following does not affect the reject rates at a company's plants?
The s/q rating of pairs being produced and the use of plant upgrade option B
Which of the following statements about a company's strategy is false?
Well-crafted company strategies rarely need to be changed unless one or more important rival firms launch unexpected strategic initiatives that endanger the company's strategy long-term profitability
The factors that affect worker productivity include
Whether plant upgrade option D has been installed, the size of incentive payments per non-defective pair, base pay increases, how favorably a company's compensation package compares with the industry-average compensation package, and expenditures for best practices training.
A company's strategy and its quest for competitive advantage are tightly connected because
a company is almost certain to earn significantly higher profits when it enjoys a competitive advantage as opposed to when it competes with no advantage or is hamstrung by completive disadvantage
Which the following are the four geographic regions in which the company sells branded and private-label athletic footwear? a. Asia-Pacific, Europe-Africa, North America, and Latin America b. The European Union, North America, Southeast Asia, and Latin America c. Latin America, Europe, China, and North America d. Argentina, Great Britain, the U.S., and Japan e. North America, Asia, European Union, and Middle East
a. Asia-Pacific, Europe-Africa, North America, and Latin America
Which the following are factors in determining a company's credit rating? a. Its default risk ratio, debt-asset ratio, and interest coverage ratio b. Its times-interest-earned ratio, debt-equity ratio, and return on investment c. A company's current ratio, accounts payable, operating profit margin, and the margin by which free cash flow exceeds interest payments d. Its loans outstanding, dividend payout ratio, debt-equity ratio, and free cash flow e. Its debt-equity ratio, current ratio, and gross profit margin
a. Its default risk ratio, debt-asset ratio, and interest coverage ratio
In Year 11, footwear companies can expect to sell a. an average of 4.84 million branded pairs and an average of 800,000 private-label pairs, although sales at some companies may run higher or lower than the averages due to differing levels of competitive effort. b. an average of 5.2 million branded pairs and an average of 880,000 private-label pairs. c. an average of 5.5 million branded pairs and an average of 700,000 private-label pairs, although some companies may sell more pairs than the average and other companies may sell fewer than the average due to differing levels of competitive effort. d. no less than 3.95 and no more than 4.95 million branded pairs and no less than 650,000 and no more than 950,000 private-label pairs. e. exactly 4.844 million branded pairs and 800,000 private-label pairs.
a. an average of 4.84 million branded pairs and an average of 800,000 private-label pairs, although sales at some companies may run higher or lower than the averages due to differing levels of competitive effort.
The company's shipments of newly-produced branded and private-label footwear from its plants to its regional distribution centers are subject to a. any applicable import tariffs and exchange rate adjustments. b. shipping charges of $3 per pair on all pairs shipped from one region to another region and exchange rate shifts of as high as 10%. c. tariffs of $6 per pair and shipping fees of $2 per pair. d. export fees equal to 10% of the manufacturing costs of the pairs shipped and exchange rate shifts of as high as 25%. e. 1-million pair import quotas on shipments from foreign plants to Europe-Africa and Asia-Pacific and exchange rate shifts of as high as 5%.
a. any applicable import tariffs and exchange rate adjustments.
In year 11, footwear companies can expect to sell
an average of 4.84 million branded pairs and an average of 800,000 private label pairs, although sales at some companies may run higher or lower than the averages due to differing levels of competitive effort.
The company's shipments of newly produced branded and private label footwear from its plants to its regional distribution centers are subject to
any applicable import tariffs and exchange rate adjustments
The company's shipments of newly-produced branded and private-label footwear from its plants to its regional distribution centers are subject to
any applicable import tariffs and exchange rate adjustments.
Good strategy combined with good strategy execution
are strongly correlated with how well the company performs both financially and in the marketplace
In choosing among strategy alternatives, company managers
are well-advised to embrace strategic actions that can pass the test of moral scrutiny-- it is not enough to just stay within the bounds of what is legal and acceptable to regulators
A company's strategy evolves from one version to the next
as managers abandon obsolete or ineffective strategy elements, settle upon a set of proactive strategy elements, and then- as new circumstances unfold--make adaptive strategic adjustments, which gives rise to reactive strategy elements
The market for private-label athletic footwear is projected to grow a. 10% annually in North America and Europe-Africa during the Year 11-Year 15 period and 8.5% annually in Latin America and the Asia-Pacific regions during the Year 11-Year 20 period. b. 10% annually in all four geographic regions during the Year 11-Year 15 period and 8.5% annually in all four regions during the Year 16-Year 20 period. c. 6-8% annually in North America and Europe-Africa during the Year 11-Year 20 period and 10-12% annually in Latin America and the Asia-Pacific during the Year 11-Year 20 period. d. 12-14% annually in all 4 regions during the Year 11-Year 15 period and 8-10% annually in all 4 regions during the Year 16-Year 20 period. e. 12% annually in all four geographic markets during Years 11-15, and then slow gradually to 8% annually in all markets by Year 20.
b. 10% annually in all four geographic regions during the Year 11-Year 15 period and 8.5% annually in all four regions during the Year 16-Year 20 period.
The company's present production capability (as of Year 10) is: a. 4 million pairs without the use of overtime and 6 million pairs with the use of overtime. b. 6 million pairs without the use of overtime and 7.2 million pairs with the use of overtime. c. 6 million pairs without the use of overtime and 6.6 million pairs with the use of overtime. d. 8 million pairs without the use of overtime and 10 million pairs with the use of overtime. e. 4 million pairs without the use of overtime and 5 million pairs with the use of overtime.
b. 6 million pairs without the use of overtime and 7.2 million pairs with the use of overtime.
The market for branded athletic footwear is projected to grow a. between 8-11% annually worldwide during the Year 11-20 period. b. 9-11% annually in Latin America and the Asia-Pacific during the Year 11-Year 15 period and 7-9% annually in these regions during the Year 16-Year 20 period. c. 6-9% annually in all four geographic regions during the Year 11-Year 15 period and 7-8% annually in all four regions during the Year 16-Year 20 period. d. 10-12% annually in North America and Europe-Africa during the Year 11-Year 15 period and 6-8% annually in these regions during the Year 16-Year 20 period. e. 6% annually in all four geographic markets during Years 11-15, and then slow gradually to 3% annually in all markets by Year 20.
b. 9-11% annually in Latin America and the Asia-Pacific during the Year 11-Year 15 period and 7-9% annually in these regions during the Year 16-Year 20 period.
The company currently has production facilities to make athletic footwear in a. Taiwan, India, Brazil, and Middle East. b. North America and Asia-Pacific. c. Asia-Pacific and Latin America. d. the Middle East and China. e. North America and Latin America.
b. North America and Asia-Pacific.
Which of the following best describes the materials the company uses to make its footwear? a. Interior lining fabrics, waterproof microfibers, rubber, cotton shoelaces, and fiberglass thread b. Standard and superior materials c. Synthetic fibers, waterproof polyesters, microfibers, rubber, high-strength threads, and metal eyelets d. High-strength and regular-strength materials e. Normal-wear and long-wear materials
b. Standard and superior materials
The interest rate a company pays on loans outstanding depends on a. its free cash flow in the prior year and whether its prior-year net profit margin exceeded 10%. b. its credit rating. c. Its accounts payable ratio, its debt-assets ratio, and its loan default percentage over the past three years. d. its current ratio, debt-equity ratio, and default risk ratio. e. its current ratio, the amount of cash on hand to make interest payments, and the average annual amount of free cash flow.
b. its credit rating.
Which of the following are the 5 measures on which a company's performance is judged/scored? a. S/Q rating, revenues, EPS, ROE, and year-end cash balance b. Quality rating, stock price, dividends, credit rating, and net profit margin c. Earnings per share, ROE, stock price, credit rating, and image rating d. Revenues, global market share, net profits, ROE, and credit rating e. Revenues, net profit, stock price, credit rating, and global market share
c. Earnings per share, ROE, stock price, credit rating, and image rating
Which one of the following is not a factor in determining a company's unit sales and market share of branded footwear in a particular geographic region? a. The number of retailers stocking the company's footwear brand b. The number of models/styles in the company's product line c. Footwear features and footwear durability d. S/Q ratings of the company's footwear e. Expenditures for retailer support
c. Footwear features and footwear durability
Which of the following is/are not among the factors that affect worker productivity? a. Expenditures for best practices training b. Whether plant upgrade option D has been installed c. The percentage of newly-hired workers and the percentage use of superior materials d. The size of incentive payments per non-defective pair e. Base pay increases
c. The percentage of newly-hired workers and the percentage use of superior materials
A footwear-maker's price competitiveness in selling branded footwear to retailers in a particular geographic region is determined by a. how favorably its wholesale price compares with the highest wholesale price being charged by any rival in any geographic region. b. how favorably its wholesale price compares with the wholesale price being charged by company having the lowest-priced footwear brand (after all mail-in rebates are factored in). c. whether its wholesale price is above or below the average price of all companies competing in that geographic region. d. how favorably its wholesale price compares to the lowest price being charged by the rival company having the largest number of models/styles in the region. e. whether its wholesale price is above or below the average price of all companies having the same S/Q rating in the region.
c. whether its wholesale price is above or below the average price of all companies competing in that geographic region.
The factors that affect a company's S/Q rating include: a. the size of annual base pay increases; reject rates; expenditures for best practices training; whether plant upgrade B has been installed. b. the number of performance features built into branded models/styles annually; the durability of its athletic shoes; how much best practices training the average production worker has had; and plant reject rates. c. whether plant upgrade C has been installed; a company's cumulative spending for TQM/Six Sigma quality control programs; and expenditures for new styling/features per model. d. how well compensated its work force is; whether shoes are produced with standard materials or superior materials; the durability and quality of the footwear, and how many models/styles are included in its product line. e. whether materials are produced in-house or outsourced; overall footwear quality; how much is spent to inspect newly-produced pairs and avoid shipping defective shoes; the size of the incentives paid to production workers.
c. whether plant upgrade C has been installed; a company's cumulative spending for TQM/Six Sigma quality control programs; and expenditures for new styling/features per model.
Crafting an ethical strategy requires that managers
carefully and conscientiously consider whether each proposed strategy element can pass the test of moral scrutiny in the sense of not being shady, unconscionable, or injurious to others.
The two crucial elements of a company's business model are
its customers vale proposition (which lays out the company's approach to satisfying buyer needs and requirements at a price they will consider a good value) and its "profit formula" (the business approach, means of generating revenues, principal resources, and operating systems that will be employed to create and deliver that intended customer value cost-efficiently and at a price that will enable attractive profits)
Which of the following are components of the compensation package for production workers at your company's plants? a. Annual base salary, teamwork bonuses, fringe benefits, and stock options b. Weekly salary, fringe benefits, year-end bonuses tied to the number of non-defective pairs produced, and overtime pay c. Hourly wages, fringe benefits, and overtime pay d. Base wages, incentive payments per non defective pair produced, and overtime pay e. Annual base pay, piecework incentives per pair produced, perfect attendance bonuses at best practices training programs, stock options, fringe benefits, and overtime pay
d. Base wages, incentive payments per non defective pair produced, and overtime pay
Which of the following most accurately describes your company's plant operations? a. Standard materials are used to make private-label shoes and are sourced from outside suppliers; superior materials are produced in-house and are used in branded footwear production. b. All private-label footwear is outsourced form contract manufacturers in Latin America and the Asia-Pacific at prices of $12.50 per pair. c. Branded footwear is produced round-the-clock (3 shifts per day) 5 days per week; private-label footwear is made using only 1 shift per day (due to higher production-run set-up times for private-label models/styles). d. Standard and superior materials are sourced from outside suppliers at prices that vary according to global demand-supply conditions; the company's production workers are compensated on the basis of both base pay and incentive payments per non-defective pair produced. e.TQM/Six Sigma quality control is used to reduce reject rates while best practices training is used to increase S/Q ratings and the number of different models that can be produced each week.
d. Standard and superior materials are sourced from outside suppliers at prices that vary according to global demand-supply conditions; the company's production workers are compensated on the basis of both base pay and incentive payments per non-defective pair produced.
Which one of the following does not affect the reject rates at a company's plants? a. The size of the incentive payment per non-defective pair produced b. Spending for TQM/Six Sigma quality control efforts c. The number of models/styles comprising the company's product line d. The installation of plant upgrade C e. Spending for best practices training
d. The installation of plant upgrade C
Which of the following is the most important factor in determining a company's unit sales and market share of private-label footwear in a particular geographic region? a. Whether the company's private-label footwear has a higher S/Q rating than the footwear of rival private-label manufacturers b. The number of models/styles comprising the company's product line c. The appeal of the celebrities signed to endorse the company's footwear d. The amount of merchandising support provided to retailers e. The company's bid price
e. The company's bid price
In Year 11, footwear companies can expect to sell
exactly 4.844 million branded pairs and 800,000 private-label pairs.
In endeavoring to craft an ethical strategy, company managers
have to go beyond what strategic actions and behaviors are deemed legal and address whether all the various elements of the company's strategy can pass the test of moral scrutiny
A winning strategy is one that
helps the company achieve a sustainable competitive advantage, results in better company performance, and fits the company's internal and external situation
A footwear-maker's price competitiveness in selling branded footwear to retailers in a particular geographic region is determined by
how favorably its wholesale price compares with the wholesale price of the company having the highest S/Q rating in any of the four geographic regions.
The difference between a company's business model and a company's strategy is that
its business model relates to management's blueprint for delivering a valuable product or service to customers in a manner that will generate ample revenues to cover costs and yield an attractive profit while its strategy relates to the companies competitive moves and business approaches (which may or may not lead to profitability)
The interest rate a company pays on loans outstanding depends on
its credit rating
The interest rate a company pays on loans outstanding depends on
its credit rating.
Which of the following is not a frequently used strategic approach to setting a company apart from rivals, delivering superior value, achieving competitive advantage, and converting buyers into loyal customers?
striving to be more profitable than rivals and aiming for a competitive edge based on bigger profit margins
The customer value proposition portion of a company's business model concerns
the company's approach to satisfying buyer needs and requirements at a price they will consider a good value
The factors that affect a company's S/Q rating include:
the percentage use of superior materials; a company's cumulative spending for TQM/Six Sigma quality control programs; the use of best practices training; and expenditures or new styling/features per model
The reject rates at the company's footwear plants are a function of
the size of the incentive payment per non defective pair produced, spending for best practices training, spending for TQM/Six Sigma quality control efforts, the number of models/styles comprising the company's product line, and the installation of plant upgrade option A
A company's strategy is defined by
the specific market positioning, competitive moves, and business approaches that form management's answer to "What's our plan for running the company and producing good results?"
A footwear makers price competitiveness in selling branded footwear to retailers in a particular geographic region is determined by
whether its wholesale price is above or below the average price of all companies competing in that geographic region
The factors that affect a company's S/Q rating include:
whether plant upgrade C has been installed; a company's cumulative spending for TQM/Six Sigma quality control programs; and expenditures for new styling/features per model.
