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Futura Furniture Products manufactures upscale office furniture for the "Office of the Future." The sales division is comprised of regionally based sales offices made up of sales representatives and regional managers. Sales representatives--who report to the regional managers--conduct direct sales efforts with customers in their regions. As part of the sales process, representatives gather information about likely future orders and convey that information back to the regional managers. Regional managers use that information to create sales forecasts, which are then used as the basis for manufacturing schedules. Sales representatives and regional managers are both compensated on a salary plus commission (percentage of revenue as pricing is centrally controlled). However, a regional manager's commision is adjusted based on regional sales that exceed the forecasted budget. Corporate managers are concerned with one of futura's key products, the "DeskPod." they worry that DeskPod forecasts are inaccurate, causing extreme havoc int he manufacturing process. How are the forecasts likely to be inaccurate? What do you think is driving inaccuracy? How might this problem be solved?
Offer one good or service that you think would be considered highly price elastic ,one that you think is highly inelastic and Elucidate why.
Which of the subsiquent statements is (are) generally true assuming a mound shaped distribution.
Elucidate why a system of marketable pollution permits leads to less costly pollution abatement and a highter concentration of polluted areas than a command-and-control system.
The United States has an absolute advantage in making many goods, such as short-sleeve cotton golf shirts. Why do Cost a Rica and Bangladesh make these shirts and export them to the United States?
The setup cost is $100 per order up to 99. For orders of less than a pallet, the setup cost is $200. The setup cost for pallet loads is $1000. The holding cost is 1% of the purchasing cost per item per week.
Distinguish between resource market and product market in circular flow model. In what way are businesses and households both sellers and buyers in this model. What are flows in circular flow model.
a homeowner can insulate his house and save $50 each year in heating bills. If the interest rates are 6%, should the house owner insulate or not.
Illustrate what will be the long run market equilibrium price also output. Elucidate how many mills of Illustrate what type - new or old - will survive.
Find out statistics on the web from 2004 to present on following indicators of the macroeconomic conditions of the U.S. economy.
Illustrate what makes measuring economies of localization or economies of urbanization difficult.
If a second McDonald's franchise, Mac Junior, was to move into Obscure City. Elucidate what is the market price that would prevail at equilibrium in a Cournot oligopoly.
Do you think the net effects of trade blocs are good or bad for world trade? Why? How do the efforts of the WTO relate to these trade blocs.
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