Capstone
What is a market segment?
A group of customers with similar purchasing concerns
When a segment's product supply exceeds demand, how much appeal, to the customer, will a product priced $1 above or below the segment price range lose?
20%
Based on the example in the Team Member Guide, what additional awareness does a promotion budget of $1,500,000 buy?
36%
Assuming no additional product promotion, what percent of customers, reached through last year's marketing campaign will carry over into the current year?
67%
How much do segment prices fall each year?
Segment price changes vary depending upon relative market demand
The generic mission statement for which strategy focuses on delivering premium products for mainstream customers?
differentiation with production lifecycle focus
On the balance sheet accumulated depreciation is
subtracted from the value of the plant and equipment.
What takes place during the group structure phase "development of group cohesion"?
the group members accepts the idiosyncrasies of fellow members
Which financial obligation is best satisfied with Bond Issues?
Paying for increased production capacity
Which of the following are two of the market segments found in the Capstone simulation?
Performance and Low End
How can assembly lines double their capacity?
add a second shift
What is the minimum amount of time that it takes to invent a new sensor?
1 year
If your short-term interest rate (the rate on your current debt is 12.1%, then your bond rate (the rate on your long-term debt) is:
1.4% higher than the current debt rate, or 13.5%
The relationship between promotion and sales budget and sensor sales is generally
a direct one.
When the competition rounds begin, each team (or individual) will take the reins of
a $100 million company with 5 products
If your company has a sales budget of $3 million and drops it to zero, in that year
accessibility will drop by one third
Which of the following are not considered in the Fine Cut?
automation
The promotion budget affects:
awareness
Which strategy employs an R & D tactic that maintains presence in every segment with high automation levels?
broad cost leader
Which general type of strategy places an emphasis on reliable rather than premium products?
cost leader
Retained earnings are considered
equity
With an accounts payable policy of 60 days, production will
fall by 8%
Proformas include actual expenses and earnings from the previous year.
false
At the beginning of the simulation, how many assembly lines are there?
five lines per company
During this stage of team development, team members seek to orient themselves to the task that must be accomplished.
forming
If you purchase production capacity and automation:
it is available in the next year
Rather than coming together for self-improvement or the studying of group phenomena, this group comes together to accomplish a specific job.
natural-group setting
With which strategy would your R & D tactic concentrate the existing product line into only the Low End and Traditional segments?
niche cost leader
The generic mission statement for which strategy focuses on delivering premium products for technology oriented customers?
niche differentiation
Teams experience a sense of "pulling together" in which stage of team development?
norming
The stages of team development can be compared to developmental stages of the human experience. Which stage is comparable to a mature human being?
performing
Administrative and marketing expenses are considered
period costs
Which one of the following is NOT one of the four product characteristics that R & D can set?
quality
Age, price and ___________ criteria remain constant from year to year.
reliability
Last year your company built 1,500,000 units of product Able and sold 1,405,000 After 14 months in R&D, a revision of product Able is due out tomorrow, on January 2 (the first business day of this year) What will happen to the unsold inventory of 95,000 units of
they'll be reworked to match the new specifications for product Able
What's the measure for product reliability?
How long a product is expected to function
A firm's bond rating slips by 1 category for each ______ in interest
additional 0.5%
The Finance Department can use which of the following methods to acquire capital for company activities?
current debt, stock issues, bond issues, and profits