BSG Business Strategy Game Study Guide 2025 – Comprehensive Answers & Strategy Tips

BSG Comprehensive with correct
answers 2025



Thevbenefitsvofvpursuingvavstrategyvofvsocialvresponsibilityvandvcorporatevcitizenshipvincludev-
vcorrect-answersv-


·vThevpositivevimpactvthatvsuchvavstrategyvhasvonvthevcompany'svimagevrating,vprovidedvthevcompa
nyvspendsvavmeaningfulvamountvonvsociallyvresponsiblevactivitiesvandvsuchvspendingvisvsustainedv
overvavmulti-yearvperiod



Ifvavcompany'svmanagersvwantvtovsucceedvinvcreatingvavdifferentiation-
basedvcompetitivevadvantagev(Andvavpotentialvcostvadvantagevinvachievingvthevdifferentiation)vtha
tvisvdifficultvforvrivalsvtovquicklyvorveasilyvcopyv(becauseveveryvstrategicvmovevavcompanyvmakesvtov
outcompetevrivalsvandvgainvavcompetitivevadvantagevisvnotvapparentvfromvinformationvcontainedvi
nvthevFIRvandvthevcompetitivevintelligencevReport),vthenvthevmanagersvhavevtov-vcorrect-answersv-
·vDovavbettervjobvthenvrivalsvinvidentifyingvandvimplementingvwaysvtovbecomevveryvcost-
efficientvinvproducingvandvmarketingv350-
500vmodels/stylesvofvbrandedvfootwearvthatvalsovhavevthevhighestvS/Qvratingvinvthevindustry



ValidvreasonsvtovconsidervbuildingvavnewvplantvinvLatinvAmericavincludev-vcorrect-answersv-
·vLowvtariffvcostsvonvfootwearvsalesvinvLatinvAmericav(becausevnovimportvtariffsvarevpaidvonvfootwe
arvproducedvatvthevLatinvAmericanvplantvandvshippedvtovthevdistributionvwarehousesvinvLatinvAme
rica)



Avcompanyvstandsvavbettervchancevofvachievingvavsustainablevcost-
basedvcompetitivevadvantagevovervrivalsvifvitsvmanagersv-vcorrect-answersv-
·vPursuevavnumbervofvcost-

,reducingvinitiativesvthatvcanvbevconcealedvfromvrivalsv(becausevsuchvinitiativesvarevnotvpartvofvthevi
nformationvcontainedvinvthevFIRvandvthevcompetitivevintelligencevreport)



Whichvofvthevfollowingvactionsvdoesvnotvhelpvavcompany'svsocialvresponsibilityvstrategyvresultvinvav
highervimagevrating?v-vcorrect-answersv-
·vReducingvthevprices,vthevcompanyvchargesvitsvcustomersvforvbrandedvfootwear



Whatvdoesvhelpvavcompany'svsocialvresponsibilityvstrategyvandvresultsvinvavhighervimagevratingv-
vcorrect-answersv-


·vUsingvenvironmentallyvfriendlyvorv'Green'vmaterialsvinvproducingvfootwearvatvthevcompany'svpla
nts



·vUsingvrecycledvpackagingvmaterialsvtovboxveachvpairvofvathleticvfootwearvatvthevcompany'svdistrib
utionvcenters



·vMakingvdonationsvtovcharitiesvandvcharitablevcauses



·vInvestingvtovimprovevenergyvefficiencyvandvthevusevofvrenewablevsourcesvatvcompanyvfacilities.



Itvmakesvgoodveconomicvsensevforvcompanyvmanagersvtovconsidervinvestingv$3.5vmillionvpervmilli
onvpairsvofvcapacityvforvavplantvfacilitiesvupgradevthatvwillvboostvlaborvproductivityvbyv25%.v-
vcorrect-answersv-


·vAtvavplantvthatvcurrentlyvhasvlaborvproductivityvofv3,200vpairsvpervworkervandvtotalvemployeevco
mpensationvofv$20,000vannuallyvbecausevthevupgradevwillvcausevlaborvcostsvpervpairvproducedvtov
declinevfromv$6.25vtov$5.00



ovLaborvcostvpervpairv=vCompensation/Productivity



ovLaborvcostvpervpairvinitiallyv=v20,000/3,200v=v$6.25

, ovAftervincreasevinvproductivityv=v20,000/v(3,200*1.25)v=v$5.00



ovReductionv=v6.25v*v5.00v=v$1.25



Whichvofvthevfollowingvcombinationsvofvactionsvwillvlikelyvprovidevthevbiggestvcompetitivevbenefit
svinvhelpingvavcompanyvachievevavdifferentiation-
basedvcompetitivevadvantagevovervsome/manyvofvitsvrivals?v-vcorrect-answersv-
·vOfferingv400vorvmorevmodels/stylesvtovbuyersvinvallvfourvgeographicvregions,vmaintainingvavcelebr
ityvappealvratingvofv200vorvhighervinvallvfourvgeographicvregions,vsellingvbrandedvfootwearvwithvav7-
starvorvhighervS/Qvratingvinvallvfourvgeographicvregions,vandvofferingvavrebatevofv$9vinvallvfourvgeogr
aphicvregions



Itvisvbothvreasonablevandvwisevforvavcompanyvtovconsidervshiftingvawayvfromvpursuitvofvavstrategyvt
ovstronglyvdifferentiatevitsvbrandedvfootwearvfromvthevofferingsvofvrivalvcompaniesvandvsellvitsvfoo
twearvatvavpremiumvpricevwhenv-vcorrect-answersv-
·vAvbigvpercentagevofvindustryvrivalsvarevtryingvtovoutcompeteveachvothervwithvcopycatvdifferentiat
ionvstrategiesvthatvincludevhighvS/Wvratings,vmanyvmodels/styles,vhighvcelebrityvappealvratings,van
dvabove-averagevadvertisingvexpenditures



WhichvofvthevfollowingvisvNOTvofvmuchvsignificancevtovcompanyvmanagervinvdecidingvwhethervpro
fitablevopportunityvexistvtovbuildv(orvpurchase)vadditionalvplantvcapacityvinvthevupcomingvdecisionv
round?v-vcorrect-answersv-
·vInformationvinvthevmostvrecentvFIRvindicatesvthatvmorevthanvhalfvofvthevcompaniesvinvthevindustr
yvhavevexpandedvtheirvplantvcapacityvsincevyearv10



WhatvISvsignificantvtovcompanyvmanagersvinvdecidingvwhethervprofitablevopportunityvexistvtovbuil
dv(orvpurchase)vadditionalvplantvcapacityvinvthevupcomingvdecisionvround?v-vcorrect-answersv-
·vThevgrowthvinvbrandedvdemandvandvprivate-
labelvdemandvovervthevnextv3vyearsv(asvreportedvinveachvyearvFIR)