ANSWERS 2025
, The benefits of pursuing a strategy of social responsibility and corporate citizenship
include: - ANSWERThe positive impact that such a strategy has on the company's
image rating, provided the company spends a meaningful amount on socially
responsible activities and such spending is sustained over a multi-year period.
If a company's managers If a company's manager wants to succeed in creating a
differentiation based on competitive advantage (and a potential cost advantage in
achieving this differentiation) that is difficult for rivals to quickly or easily copy (because
every strategy move a company makes to outcompete rivals and gain a competitive
advantage is not apparent from information contained in the FIR and the competitive
intelligence report), then manages have to - ANSWERdo a better job than rivals in
identifying and implementing ways to become very cost efficient in producing and
marketing 350 to 500 models/styles of branded footwear that also have the highest S/Q
rating in the industry.
Valid reasons to consider building a new plant in Latin America include - ANSWERlower
tariff on footwear sales in LA (because no import tariffs are paid on footwear produced
at the LA plant and shipped to the distribution warehouse in LA)
A company stands a better chance of achieving cost-based competitive advantage over
rivals if its managers - ANSWERpursue a number of cost-reducing initiatives that can be
concealed from rivals (because such initiatives are not part of the information contained
in the FIR and Competitive Intelligence Reports)
- are successful in identifying what actions promote greater cost efficiency across all
aspects of company operations and in actually achieving the cost-reducing opportunity
without overspending to do so, while many rivals also striving to win a low-cost
advantage fall short in their efforts to achieve matching cost reductions.
Which of the following does NOT help a company's social responsibility strategy results
in a higher image rating - ANSWERspending additional money on celebrity
endorsements and advertising to help inform the general public about the company's
good deeds in being a good corporate citizen and its socially responsible activities
- reducing the prices the company charges its customers for branded footwear
Some social responsibility and citizenship actions have a bigger positive impact on your
company's Image Rating than do others. - ANSWERThe biggest impacts relate to
"green" footwear materials and
charitable contributions, not so much because they are "more important" than the other
four as because
they are more visible to the public (and can entail bigger dollar expenditures).
It makes good economic sense for company managers to consider investing $3.5 mil
/mil pairs of capacity for a plant facilities upgrade that will boost labor productivity by