Cosmetic Strategy

Question: Eurocos, Inc. produces and sells various cosmetic products in several European countries. The company’s different brands are well established in the markets. The various products are quite similar in terms of raw materials and production. The company has been doing very well in the past; however, profits have been shrinking in recent years. The... Continue Reading →

Operational plan

Question:  A group of doctors has just discovered a new medical diagnostic technology for diagnosing cancer. The doctors want to maintain proprietary ownership of this technology, yet offer it to physicians across the country. In order to perform the new test, blood samples have to be given to the enterprising doctors, who can then do... Continue Reading →

Utility cost-cutting

Question: 2 A credits and collections department of a medium size utility company has hired you. They have two primary means of receiving customer’s payments. The first way is through the mail, which accounts for 90% of their billings. The second way is a collections office located in a community close to downtown. Presently it costs... Continue Reading →

Big 6

Question: You have been called in by a Big 6 accounting firm that is experiencing declining profitability in its auditing operation. What actions would you take to help them improve profitability? . . C A P T A I N I N T E R V I E W . . Solution: First, determine whether... Continue Reading →

Mapping Measures

Question: Your client, company C, sells maps to schools along with two other major companies. Company A sells its maps at a 10% premium and still maintains the highest market share, while company B follows the same pricing structure as your client and has captured the same market share as your client. What should your... Continue Reading →

News Dues

Question: You have been hired by a newspaper publisher who has been experiencing declining readership and, as a result, declining profitability. What would you suggest she do? . . C A P T A I N I N T E R V I E W . . Solution: First, if readership (demand for your product)... Continue Reading →

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