Upscale office furniture for office of future

Assignment Help Macroeconomics
Reference no: EM131112951

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 commission 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 in the manufacturing process. How are the forecasts likely to be inaccurate? What do you think is driving this inaccuracy? How might this problem be solved?

Reference no: EM131112951

Questions Cloud

Concepts of the major macroeconomic indicators : 1. The level of your understanding of the key concepts of the major macroeconomic indicators. 2. Some in-text references to modular background readings (APA formatting encouraged).
What might account for this phenomenon : determine whether an accident victim has suffered a crushed vertebra
Why levels of variables important in statistical analysis : Define the term "nominal variable" and provide an example of a nominal level variable other than those provided in the text. Define the term ordinal variable and provide an example of an ordinal variable other than those provided in the text.
General unreliability of observations : Other writers have found consumer behaviour in certain circumstances that appears haphazard, disorderly or opportunistic (Erasmus,Boshoff et al. 2001). What depicts the general unreliability of these observations?
Upscale office furniture for office of future : 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.
Determine the magnitude and direction of the force : Determine the magnitude and direction of the force that is equivalent to the two applied forces.
Increased computing power in personal computer : Product innovation can be very important such as increased computing power in a personal computer or perhaps relatively unimportant such as a new design for an automobile with no new safety or performance features. Under what conditions must a a firm..
Review each products contribution to sales in term of profit : Review the sales volume, cost, and price of each specific product. Review each product's contribution to sales in terms of profit. Describe the relationship between sales and supportive employment.
Compute the before- and after-tax costs of its debt : Compute the before- and after-tax costs of ITS debt. Compute the cost of equity (assuming all funds come from internal sources): Using the constant growth Gordon Dividend Valuation Model

Reviews

Write a Review

Macroeconomics Questions & Answers

  Explain the concept of demand with the examples

In economics, demand for a product is considered downward sloping. This implies that quantity demanded rise when price reduce.

  Where is the most cost efficient to be run by one company

In a traditional monopoly, all or most sales are in a market are undertaken one company. In a natural monopoly, the cost-technology of an industry where is is most cost efficient to be run by one company and a good example of this would be public ..

  Transmission of data in both directions

Since data transmissions can pass through fiber-optic cable in only one direction, can at least two fibers are required to enable transmission of data in both directions?

  Opposite ends of a north-south shopping mall

Two hamburger restaurants are located at opposite ends of a north-south shopping mall. From end to end, the shopping mall is 1/2 mile in length. Restaurant North and restaurant South each sell hamburgers for $5.00.

  Illustrate what is the major pros of the real gdp measure

Illustrate what is the major pros of the real GDP measure. Construct a price index giving all products equal weight.

  Make a schedule showing total product average product

Make a schedule showing total product, average product of labor, and marginal product of labor using a range of labor inputs

  Explain the coefficient-of-variation decision criterion

Apply the coefficient-of-variation decision criterion to these alternatives to find out which is preferred by the angel investor, assuming that he/she is risk-averse. b) Apply the maximin criterion, assuming that the worst outcome in Business 1 ..

  What sort of shift in supply or demand results equilibrium

Name three other providers of urgent care services. Emergency departments, urgent care clinics, and walk-in clinics supply urgent care services.What sort of shift in supply or demand would result in a market equilibrium with higher prices and sale..

  Among which of the surgeries has the lower inflation rate

Patients who need the surgery must pay for it themselves. Among which of the surgeries has the lower inflation rate.

  Explain when a bank loan is repaid the supply of money

Assume Company X deposits $100,000 in cash in Commercial Bank A. If no excess reserves exist at the time this deposit is made and the reserve ratio is 20 percent, Bank A, by itself, can initially increase the money supply by a maximum of

  What happens to the price level and real ouput

Suppose OPEC breaks apart and oil prices fall substantially. Initially, which curve shifts in the aggregate supply/aggregate demand model? In what direction does it shift? What happens to the price level and real ouput (GDP).

  Analysis on recent economic events or economic reports

Each paper is to be an analysis on the recent economic events or economic reports from the supplemental resources or references. The focus of this assignment is to relate and analyze current events to basic principles of macroeconomics covered in thi..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd