ECON 2302 – Assuming Digby’s current market share for its Don product remains

Subject: Business    / Management
Question

Assuming Digby’s current market share for its Don product remains the same, how many units of Don should Digby expect to sell in the primary segment for the upcoming year?

Select: 1

1503 units

1787 units

1639 units

1653 units

According to information found on the production analysis page of the Inquirer, Baldwin sold 1128 units of Bill in the current year. Assuming that Bill maintains a constant market share, all the units of Bill are sold in the Nano market segment and the growth rate remains constant, how many years will it be before Bill will not be able to meet future demand unless the company adds production capacity? Exclude any existing inventory.

Select: 1

3 year(s)

2 year(s)

4 year(s)

1 year(s)

Larry is in charge of collecting customer service and satisfaction data for his company. He’s not sure which key groups in the company would be the most appropriate audience to communicate the recent customer satisfaction results, including call center employees, senior management, and company-wide. As Larry begins to develop his communication plan, which of the following questions would MOST help him strategize a plan for targeting a specific audience?

Select: 1

How can you communicate the information in a way that will be acceptable to all groups?

What format would each group prefer to see in a report on customer satisfaction?

What are the potential advantages and disadvantages of communicating customer satisfaction results to one group versus another group?

What are the consequences of not communicating the information at all?

Which description best fits Andrews? For clarity:

– A differentiator competes through good designs, high awareness, and easy accessibility.
– A cost leader competes on price by reducing costs and passing the savings to customers.
– A broad player competes in all parts of the market.
– A niche player competes in selected parts of the market.

Which of these four statements best describes your company’s current strategy?

Select: 1

Andrews is a broad differentiator

Andrews is a niche differentiator

Andrews is a broad cost leader

Andrews is a niche cost leader

Baldwin’s Elite product Boat has an awareness of 72%. Baldwin’s Boat product manager for the Elite segment is determined to have more awareness for Boat than Andrews’ Elite product Axe. She knows that the first $1M in promotion generates 22% new awareness, the second million adds 23% more and the third million adds another 5%. She also knows one-third of Boat’s existing awareness is lost every year. Assuming that Axe’s awareness stays the same next year (77%), out of the promotion budgets below, what is the minimum Baldwin’s Elite product manager should spend in promotion to earn more awareness than Andrews’ Axe product?

Select: 1

2M

Nothing

1M

3M

Demand is created through meeting customer buying criteria, credit terms, awareness (promotion) and accessibility (distribution). According to the Thrift segment’s customers, which of these products was the most competitive at the end of last year?

Select: 1

Clack

Cone

Ate

Don

Bill is a product of the Baldwin company which is primarily in the Nano segment, but is also sold in another segment. Baldwin starts to create their sales forecast by assuming all policies (R&D, Marketing, and Production) for all competitors are equal this year over last. For this question assume that all 1128 of units of Bill are sold in the Nano segment. If the competitive environment remains unchanged what will be the Bill product’s demand next year (in 000’s)?

Select: 1

1128

1286

2572

1207

In order to sell a product at a profit the product must be priced higher than the total of what it costs you to build the unit, plus period expenses, and plus overhead.

At the end of last year the broad cost leader Digby had an Elite product Daft. Use the Inquirer’s Production Analysis to find Daft’s production cost, (labor+materials). Exclude possible inventory carrying costs. Assume period expenses and overhead total 1/2 of their production cost. What is the minimum price the product could have been sold for to cover the unit cost, period expenses, and overhead?

Select: 1

$21.45

$10.72

$32.17

$35.00

Your team has recently experienced some difficulties and setbacks. Some of your teammates have expressed their lack of confidence in the team. Which of the following tactics is most likely to help boost your teammates’ perception of the team’s capability to perform well?

Select: 1

Allow time at a team meeting for everyone to openly share any complaints they might have about one another.

Identify the team’s weak links that led to the team’s past failures.

Encourage your teammates to focus on the future and not to dwell on the past.

Discuss the past successes your team has had and how the team pulled together to get the job done.

Your first team meeting is dedicated to setting goals for a new and challenging project. Which of the following actions would be most effective in helping your team attain its goals?

Select: 1

Ensure that the team goals are general enough to allow for freedom in how tasks are accomplished.

Review the goals to make sure they are inspirational enough to carry the team through difficult times.

Ensure that the team goals are specific and challenging.

Ask a member of senior management to make a presentation about the importance of the team’s success in reaching its goals.

You were recently hired by the Andrews CEO as a consultant to evaluate the performance of the Chief Financial Officer (CFO). As part of that process, you interview the CFO’s direct reports (employees). Although they indicate that the CFO is technically competent, one individual told you stories about the CFO’s verbal abuse with employees. Given this information, what would be the most effective next step in the process?Select: 1

Tell the CEO about what you have uncovered and ask for her permission to speak about it with the CFO.

Focus on the CFO’s work performance since his personal behavior is inappropriate in the workplace.

Inform the human resources department that there is a potential problem.

Collect more information about the extent to which this reported behavior is impacting others.

You are having a lunch meeting with a loyal and very good customer. Over lunch you happen to mention that your application to an exclusive golf club was denied for the second time. Your customer responds, “Hey, why didn’t you tell me? My family has been members there for 40 years, let me make a phone call, I’m sure we can get it worked out.” Which of the following statements should represent your primary concern about this situation?

Select: 1

My customer has increased influence over me that he might try to use for special treatment or deals.

Current members of the club are likely to know I wasn’t accepted through the proper channels.

If anyone else at my company learns about this, they might think that I bribed the customer.

My customer likely feels forced into having to help me.

Looking forward to next year, if Baldwin’s current cash balance is $17,334 (000) and cash flows from operations next period are unchanged from this period and Baldwin takes ONLY the following actions relating to cash flows from investing and financing activities:

Issues 100 (000) shares of stock at the current stock price
Issues $200 (000) of long-term debt
Pays $40 (000) in dividends

Which of the following activities will expose Baldwin to the most risk of needing an emergency loan?Select: 1

Retires $20,000 (000) in long-term debt

Purchases assets at a cost of $15,000 (000)

Sells $5,000 (000) of their Long-term assets

Liquidates the entire inventory

A productivity index of 110% means that a company’s labor costs would have been 10% higher if it had not made production improvements. Now refer to the Income Statement in Chester’s Annual Report. The direct labor costs for Chester were $32,611. These labor costs could have been $20,000 higher if investments in training that increased productivity had not been made. What was the productivity index for Chester that led to such savings?

Select: 1

38.7%

161.3%

155.2%

44.8%

Investing $2,000,000 in TQM’s Channel Support Systems initiative will at a minimum increase demand for your products 3.0% in this and in all future rounds. (Refer to the TQM Initiative worksheet in the CompXM Decisions menu.) Looking at the Round 0 Inquirer for Andrews, last year’s sales were $163,508,343. Assuming similar sales next year, the 3.0% increase in demand will provide $4,905,250 of additional revenue. With the overall contribution margin of 34.1%, after direct costs this revenue will add $1,672,690 to the bottom line. For simplicity, assume that the demand increase and margins will remain at last year’s levels. How long will it take to achieve payback on the initial $2,000,000 TQM investment, rounded to the nearest month?

Select: 1

TQM investment will not have a significant financial impact

14 months

10 months

5 months