Answer:
b. $2 billion trade surplus with country B.
Explanation:
When a country exports more than it imports, it is said that the country has a trade surplus. On the other hand, when a country imports more than it exports, it is said that the country has a trade deficit.
In this case, exports to country B are worth $10 billion which are larger than the $8 billion of imports from country B. Country A's trade surplus is given by:
Therefore, the answer is alternative b.
Answer:
My recommended sourcing strategy is that Pacific Systems should single source their DVD drives and they should establish a good relationship with their suppliers. Having a single supplier and having a long term contract with that supplier will be advantageous for the company. Further it should implement a just in time inventory management practice.
A quantitative analysis is provided in the attached file
To reduce any risk associated with my sourcing decision I will have to trust my supplier and try and create synergies together by building a symbiotic relationship with the supplier. Cross functional risk planning will also be useful here.
2. Not all sourcing decisions require the same quantum of commitments in terms of time and efforts. This is because a variety of suppliers are available both locally as well as globally. As a company analysis will have to be done with regards to suppliers if they are financially competent to supply, on a consistent basis, high quality materials. The type of sourcing that does not justify the level of effort and analysis are fasteners for the computers and poly bags that are used to protect products from dust.
3. The issue of supplier capacity is important in this case. This is because the market is booming and demand is about to rapidly increase due to a revival of the economy. The company should look out for a supplier that has the ability, wherewithal and capacity to cater to spikes in demands besides being able to take on new projects. A supplier should be stable enough to absorb increase in demand and having such suppliers will ensure that the company does not lose out on potential customers.
4.
Advantages of single sourcing – It helps in optimizing the company’s supply chain. Further it helps the company by lowering its production costs and provides and creates a better and incremental value for the shareholders.
Disadvantages of single sourcing – It can be detrimental to the company in the long run as greater power is provided to the suppliers. Secondly failure of a supplier may cause a total shutdown for the company.
Advantages of multiple sourcing – As competition increases among the suppliers it drives down prices in the long run. Secondly failure of a single supplier will no longer disrupt the company’s operations.
Disadvantages of multiple sourcing – Managing different suppliers can become complex as each of the suppliers will have to be managed and monitored. Secondly as there are many suppliers they will not eb able to leverage the advantages of economies of scale.
Explanation:
Answer:
The answer is false
Explanation:
Open market operations is a situation in which the Federal purchases and sells U.S. Treasury securities on the open market in order to regulate the supply of money in the economy.
If the Fed purchases securities in the open market, this increases the money supply in the economy. This is done when the economy is having low activities i.e economic hardship. Interest rate will be and if the Fed sells securities in the open market, it reduces the supply of money in the economy. This is done when the economy is overheating.
<span>if you are an employee who is not working on a commission basis, then most likely, you are working as a salary based employee. Your salary would usually be based on your going rate or your market value to the employers. Based on your caliber, the employers will decide what your salary would be. For example, if you are a fresh grad, you will start with an entry level salary while if you are a manager, you will obviously be receiving a higher salary.</span>
<span>Firms using the Harvesting approach during the decline stage of the product life cycle will gradually reduce marketing expenditures and use a less resource-intensive marketing mix.
In business, harvesting approach is a practice to exploit as much profit as possible from a certain company's product before it pulled out from the market. Usually being done because the firms want to replace the product with a newer one.</span>
