BSG Quiz 1 Questions and Complete
Answers
The number of consumers that live in the region - Answer: 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 facility in the Asia-Pacific and a facility in North America, each with sufficient footwear-making
equipment to currently produce 4.8 million pairs with full use of overtime. - Answer: Going into Year
11, the company's production facilities to make athletic footwear consisted of
7% -9% annually worldwide in Years 11-15 and 5%-7% annually worldwide in Years 16-20. - Answer:
The market for branded athletic footwear is projected to grow
Workforce Compensation & Training - Answer: This decision entry page includes six decision entry
items for managing, compensating, and training production workers, and supervisory staff within
each production facility.
True - Answer: All footwear companies began with the same market shares in each of the four
geographic market regions— North America, Europe-Africa, Asia-Pacific, and Latin America. Your
company is selling over 8 million pairs annually. In the just-completed year, your company had
revenues of $432.6 million and net earnings of $40 million, equal to $2.00 per share of common
stock. The company is in sound financial condition, is performing well, and its brand is well-regarded.
Your company's board of directors has charged you with developing a winning competitive strategy
—one that capitalizes on continuing consumer interest in athletic footwear, keeps the company in
the ranks of the industry leaders, and increases the company's earnings year-after-year.
The Business Strategy Game (BSG) - Answer: is an online exercise, modeled to reflect the real-world
character of the globally competitive athletic footwear industry and structured so that you run a
company in head-to-head competition against companies run by other class members.
True - Answer: Company operations are patterned after those of an athletic footwear company that
produces its shoes at company-operated facilities rather than outsourcing production to contract
manufacturers. Cause-effect relationships and revenue-cost-profit relationships are based on sound
business and economic principles and closely mirror the competitive functioning of the real-world
athletic footwear market.
, The Business Strategy Game - Answer: enables you and your co-managers to apply what you have
learned in business school and to practice making reasoned, businesslike decisions aimed at
improving your company's overall performance.
True - Answer: Each decision period in BSG represents a year. The company you will be running
began operations 10 years ago, and the first set of decision entries you and your co-managers will
make is for Year 11.
On the Corporate Lobby page. - Answer: Where can you view the YX Footwear Industry Report,
Competitive Intelligence Reports, and Company Operating Reports?
The YX Footwear Industry Report, Competitive Intelligence Reports, and Company Operating
Reports, along with the Player's Guide. - Answer: What provide you with full information on where
things stand going into Year 11?
5-7% annually in the North America and Europe-Africa regions during the Year 11-Year 15 period,
decreasing to 3-5% annually in these same two regions during the Year 16-Year 20 period. - Answer:
The projected growth in buyer demand for branded athletic footwear is
how much emphasis is placed on incentive compensation (as measured by the percentage of the
company's total compensation package accounted for by incentive pay) and the amount the
company spends annually per worker for best practice training. - Answer: The factors that affect
worker productivity include
The biggest possible competitive advantage a company can achieve in a given region's Internet
Segment is to offer free shipping and thereby capture the biggest number of pairs sold and the
biggest market share of any company in that region's Internet Segment. - Answer: 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?
The S/Q rating of pairs being produced and the percentage use of superior materials. - Answer:
Which one of the following does not affect the reject rates at a company's production facilities?
True - Answer: You and your co-managers will make decisions each period relating to branded and
private-label footwear production (up to 11 entries for each production facility), the addition of
facility space and production equipment and production improvement options (up to 8 entries for
each facility), workforce compensation and training (6 entries for each facility), shipping and
distribution center operations (5 entries per geographic region), footwear pricing and marketing (up
to 9 entries per region), contract offers to celebrities to endorse your footwear brand (2 entries per
Answers
The number of consumers that live in the region - Answer: 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 facility in the Asia-Pacific and a facility in North America, each with sufficient footwear-making
equipment to currently produce 4.8 million pairs with full use of overtime. - Answer: Going into Year
11, the company's production facilities to make athletic footwear consisted of
7% -9% annually worldwide in Years 11-15 and 5%-7% annually worldwide in Years 16-20. - Answer:
The market for branded athletic footwear is projected to grow
Workforce Compensation & Training - Answer: This decision entry page includes six decision entry
items for managing, compensating, and training production workers, and supervisory staff within
each production facility.
True - Answer: All footwear companies began with the same market shares in each of the four
geographic market regions— North America, Europe-Africa, Asia-Pacific, and Latin America. Your
company is selling over 8 million pairs annually. In the just-completed year, your company had
revenues of $432.6 million and net earnings of $40 million, equal to $2.00 per share of common
stock. The company is in sound financial condition, is performing well, and its brand is well-regarded.
Your company's board of directors has charged you with developing a winning competitive strategy
—one that capitalizes on continuing consumer interest in athletic footwear, keeps the company in
the ranks of the industry leaders, and increases the company's earnings year-after-year.
The Business Strategy Game (BSG) - Answer: is an online exercise, modeled to reflect the real-world
character of the globally competitive athletic footwear industry and structured so that you run a
company in head-to-head competition against companies run by other class members.
True - Answer: Company operations are patterned after those of an athletic footwear company that
produces its shoes at company-operated facilities rather than outsourcing production to contract
manufacturers. Cause-effect relationships and revenue-cost-profit relationships are based on sound
business and economic principles and closely mirror the competitive functioning of the real-world
athletic footwear market.
, The Business Strategy Game - Answer: enables you and your co-managers to apply what you have
learned in business school and to practice making reasoned, businesslike decisions aimed at
improving your company's overall performance.
True - Answer: Each decision period in BSG represents a year. The company you will be running
began operations 10 years ago, and the first set of decision entries you and your co-managers will
make is for Year 11.
On the Corporate Lobby page. - Answer: Where can you view the YX Footwear Industry Report,
Competitive Intelligence Reports, and Company Operating Reports?
The YX Footwear Industry Report, Competitive Intelligence Reports, and Company Operating
Reports, along with the Player's Guide. - Answer: What provide you with full information on where
things stand going into Year 11?
5-7% annually in the North America and Europe-Africa regions during the Year 11-Year 15 period,
decreasing to 3-5% annually in these same two regions during the Year 16-Year 20 period. - Answer:
The projected growth in buyer demand for branded athletic footwear is
how much emphasis is placed on incentive compensation (as measured by the percentage of the
company's total compensation package accounted for by incentive pay) and the amount the
company spends annually per worker for best practice training. - Answer: The factors that affect
worker productivity include
The biggest possible competitive advantage a company can achieve in a given region's Internet
Segment is to offer free shipping and thereby capture the biggest number of pairs sold and the
biggest market share of any company in that region's Internet Segment. - Answer: 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?
The S/Q rating of pairs being produced and the percentage use of superior materials. - Answer:
Which one of the following does not affect the reject rates at a company's production facilities?
True - Answer: You and your co-managers will make decisions each period relating to branded and
private-label footwear production (up to 11 entries for each production facility), the addition of
facility space and production equipment and production improvement options (up to 8 entries for
each facility), workforce compensation and training (6 entries for each facility), shipping and
distribution center operations (5 entries per geographic region), footwear pricing and marketing (up
to 9 entries per region), contract offers to celebrities to endorse your footwear brand (2 entries per
