Business Strategy Game Quiz 1

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Which 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 best describes the materials the company uses to make its footwear?

Standard and superior materials

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 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 currencies are involved in affecting the operations of your company’s athletic footwear business?

U.S. dollars, Singapore dollars, euros, and Brazilian reals

The company currently has production facilities to make athletic footwear in

Asia-Pacific and North America

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-hours, 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

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 average due to differing levels of competitive effort

Which of the following are the four geographic regions in which the company sells branded and private-label athletic footwear?

Asia-Pacific, Europe-Africa, North America, and Latin America

A company’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 average wholesale price of all companies competing in the region

The interest rate a company pays on loans outstanding depends on

Its credit rating

Which of the following are factors in determining a company’s credit rating?

Its interest coverage ratio, debt-asset ratio, and default risk ratio

At the end of year 10, going into year 11, a 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 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

Which of the following are components of the compensation package for productions 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 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 is/are not among the factors that affect worker productivity?

S/Q ratings and the warranty claim rate on recently-sold footwear

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 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

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