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There are 10 quick questions in NewShoes
Product development investments only have a positive effect on the home region.
True
False
How many regions are there in NewShoes?
1
2
3
4
The contract bid always goes to the firm (or firms if a tie occurs) with the lowest bid.
True
False
How many periods of prior operations inNewShoes before you assumed control of the firm?
0
1
2
3
4
New improved versions of your product are solely the result of amount and consistency of product development expenditures.
True
False
How much does it cost to enter a new region?
$500,000
$750,000
$1,000,000
$1,500,000
Advertising has the same effect in all regions.
True
False
Given a 75% experience curve, if unit cost is $32 with cumulative production of 600,000, what will it be when cumulative production doubles to 1.2 million units?
$24
$28
$32
$64
The selling price you set for your shoes can be different in each of the markets where you have a presence.
True
False
How much does each salesperson you have employed cost you per period?
$40,000
$60,000
$80,000
$100,000