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BSG FINAL EXAM QUESTIONS AND CORRECT ANSWERS

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BSG FINAL EXAM QUESTIONS AND CORRECT ANSWERS

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BSG FINAL




The projected growth in buyer demand for BRANDED athletic footwear is:

A) 3-5% annually in North America and Europe-Africa in Years 16-20 and 7-9% annually in Latin America
and the Asia Pacific regions in Years 16-20.

B) 6-9% annually in all four geographic regions during Years 11-15 and 4-7% annually in all four regions
during Years 16-20.

C) 5-7% annually in North America during the Year 11-15 periods and 4-6% annually in North America
during the Year 16-20 period.

D) 10-12% annually in Europe-Africa and the Asia-Pacific during Years 11-15 and 8-10% annually in these
same two regions during Years 16-20.

E) 6-8% annually in Latin-America and North America during the Year 11-15 period and 5-7% annually in
the same two regions during the Year 16-20 period. - Answer-A) 3-5% annually in North America and
Europe-Africa in Years 16-20 and 7-9% annually in Latin America and the Asia Pacific regions in Years 16-
20.



Which of the following statement about the IMPORTANCE of each competitor factor (most particularly
influential competitive factors like S/Q ratings, models/styles, and selling prices) in determining
company sales volumes and market shares in a particular geographic region is false?

A) Tiny cross-company differences on a highly influential competitive factor (like S/Q ratings, the number
of models/styles offered, and selling prices) nearly always have a bigger impact on company
sales/market shares in a region than do large differences on less influential competitive factors.

B) Big S/Q rating differences in a region always weigh heavily in accounting for company-to-company
differences in branded pairs sold and market share in all four regions.

, C) As the spread between the company with the region's highest S/Q rating and the company with the
lowest S/Q rating becomes smaller and smaller, the weaker is the unit sales/m - Answer-A) Tiny cross-
company differences on a highly influential competitive factor (like S/Q ratings, the number of
models/styles offered, and selling prices) nearly always have a bigger impact on company sales/market
shares in a region than do large differences on less influential competitive factors.



Which one of the following is not one of the factors that affect the S/Q rating of a company's footwear?

A) A company's current and cumulative spending for TQM/Six Sigma quality control programs

B) The percentage size of a production facility's reject rates for branded and private-label footwear due
to defective workmanship and poorly-maintained equipment.

C) Expenditures for new styling/features per model

D) Whether production improvement option C has been installed (this option entails investing in special
production equipment that boosts the S/Q rating of all pairs produced by 1.0 star)

E) Expenditures for best practices training - Answer-B) The percentage size of a production facility's
reject rates for branded and private-label footwear due to defective workmanship and poorly-
maintained equipment.



Which of the following statements about the impact of a company's competitive efforts in a region on its
regional market share and number of branded pairs sold is false?

A) Companies with more influential celebrity lineups in a region enjoy a competitive advantage in
attracting buyers to purchase their brand in either retail stores or online as compared to regional rivals
with less influential celebrity endorsements (or no celebrity endorsements).

B) A footwear-maker achieves the biggest possible styling/quality-based competitive advantage in a
given when its branded footwear has a higher S/Q rating than any other company in the region.

C) A company's pairs sold and market share outcomes in a region are positively impacted when the
number of models/styles it offers for sale in the region is above the regional average.

D) The more a company's S/Q rating in a region is below the region's all-company average, the bigger -
Answer-B) A footwear-maker achieves the biggest possible styling/quality-based competitive advantage
in a given when its branded footwear has a higher S/Q rating than any other company in the region.



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

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