GLO-BUS MIDTERM FULL REVISION NOTES
WITH COMPETITIVE ANALYSIS AND MARKET
ENTRY STRATEGIES
◉ A camera-maker's price competitiveness in a particular
geographic region is determined by
Answer: whether its price is above or below the average price of all
companies competing in that geographic region.
◉ The interest rate a company pays on loans outstanding depends
on
Answer: its credit rating.
◉ Which the following are not factors in determining a company's
credit rating?
Answer: The size of the company's year-end cash balance, the
average of its ROE for the past three years, and how many times the
company has been put on credit watch.
◉ Consumer purchases of digital cameras are seasonal with
Answer: about 20% of consumer demand coming in quarter 1, 20%
in quarter 2, 20% in quarter 3 and 40% in quarter 4.
, ◉ Which of the following are the four geographic regions in which
the company is selling its cameras?
Answer: Europe-Africa, Latin America, Asia-Pacific, and North
America.
◉ Which of the following currencies are involved in affecting the
revenues your company receives on camera shipments to retailers in
the four geographic regions of the world where it markets cameras?
Answer: U.S. dollars, Taiwan dollars, Singapore dollars, euros, and
Brazilian real.
◉ Which of the following do not have a bearing in determining a
company's unit sales and market share of entry-level or multi-
featured cameras in a particular geographic region?
Answer: The size of the incentive bonus paid to PATs, the percentage
of cameras that were outsourced, and warranty claims costs.
◉ The company's shipments of digital cameras to retailers in
various foreign countries are subject to
Answer: import duties imposed by the countries to which the
cameras are shipped and the effects of fluctuating exchange rates.
◉ The factors that affect a company's P/Q rating include:
Answer: the caliber of core components; company's cumulative
spending for new product R&D, engineering and design; the number
WITH COMPETITIVE ANALYSIS AND MARKET
ENTRY STRATEGIES
◉ A camera-maker's price competitiveness in a particular
geographic region is determined by
Answer: whether its price is above or below the average price of all
companies competing in that geographic region.
◉ The interest rate a company pays on loans outstanding depends
on
Answer: its credit rating.
◉ Which the following are not factors in determining a company's
credit rating?
Answer: The size of the company's year-end cash balance, the
average of its ROE for the past three years, and how many times the
company has been put on credit watch.
◉ Consumer purchases of digital cameras are seasonal with
Answer: about 20% of consumer demand coming in quarter 1, 20%
in quarter 2, 20% in quarter 3 and 40% in quarter 4.
, ◉ Which of the following are the four geographic regions in which
the company is selling its cameras?
Answer: Europe-Africa, Latin America, Asia-Pacific, and North
America.
◉ Which of the following currencies are involved in affecting the
revenues your company receives on camera shipments to retailers in
the four geographic regions of the world where it markets cameras?
Answer: U.S. dollars, Taiwan dollars, Singapore dollars, euros, and
Brazilian real.
◉ Which of the following do not have a bearing in determining a
company's unit sales and market share of entry-level or multi-
featured cameras in a particular geographic region?
Answer: The size of the incentive bonus paid to PATs, the percentage
of cameras that were outsourced, and warranty claims costs.
◉ The company's shipments of digital cameras to retailers in
various foreign countries are subject to
Answer: import duties imposed by the countries to which the
cameras are shipped and the effects of fluctuating exchange rates.
◉ The factors that affect a company's P/Q rating include:
Answer: the caliber of core components; company's cumulative
spending for new product R&D, engineering and design; the number
