Answer: more, growth
Explanation:
If all firms expect greater demand for their products or services, they will hire more resources like labor and capital and the economy will experience growth.
For an economy to grow, human capital, labor force, and technology can not be exempted. The quality of the materials used also plays a vital role as well. Once all these are in place, then the economy while start experiencing turn around.
Answer:
Answer to each part of the question is given below separately under specific headings with detailed explanation.
Explanation:
<u>a) Branding strategy recommendation</u>
The branding strategy they should opt is a multi-branding strategy, in which a company's objective is to market more than one product and/or brand under the same hood in order to increase their overall market share. This strategy is somewhat used by other known car manufacturers such as Toyota (Lexus), Honda (Acura) etc.
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<u>b) Branding strategy trade-offs</u>
The trade-off with this strategy is that the attention of Ferrari would be diverted from their main market segment and therefore, they will not be providing new products to the luxury market.
This will give the other companies in the same market segment the opportunity to increase their market share in the same segment.
<u>c) Opinion on the trading-down strategy</u>
It is fairly a risk for Ferrari to opt for the trading down strategy. This is due to the fact that their main market and objective is the luxury market to buy their expensive cars. Focusing on the new strategy could hurt their brand equity and this may impact their loyal buyers.
However, such could be avoided if they market this strategy with a foreign brand name and promote the name under the Ferrari hood by saying that the foreign brand has been designed by the Ferrari. Keeping the original Ferrari name and objective separate from this brand.
Answer:
27.48%
Explanation:
Calculation for Luther's operating margin for the year ending December 31, 2005
Using this formula
Operating margin = Operating income / Sales
Let plug in the formula
Operating margin= 159.1/578.8
Operating margin=0.2748*100
Operating margin=27.48%
Therefore Luther's operating margin for the year ending December 31, 2005 is 27.48%
If the European subsidiary of a US company has published net assets of €200,000 and the euro rises from $1.22/€ to $1.26/€, the US company would incur a loss of $8,000 in translation.
In the corporate world, a subsidiary is a company that belongs to another company, usually called a parent company or holding company. The parent company retains control of the subsidiary. That is, the parent company owns or controls more than half of its shares.
A European company – also known as SE – is a type of public limited company that allows a single set of rules to operate in different European countries.
In accordance with the principle of balance, the content and form of EU action must not exceed what is necessary to achieve the objectives of the Treaty. Page 3. 3. Subsidiarity is who should act. Proportionality is about the types of measures that should be implemented.
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