1. Is Pineway's 2017 strategy one of product differentiation or cost leadership? Explain briefly. 2. Ramsey Corporation, a competitor of Pineway, manufactures electric motors with more sizes and features than Pineway at a higher price. Ramsey's motors are of high quality but require more time to produce and so have longer delivery times. Draw a simple customer preference map as in Ex- hibit 12-1 for Pineway and Ramsey using the attributes of price, delivery time, quality, and design features. Required Draw a strategy map as in Exhibit 12-2 with at least two strategic objectives you would expect to see under each balanced scorecard perspective. Identify what you believe are any (a) strong ties, (b) focal points, (c) trigger points, and (d) distinctive objectives. Comment on the structural analysis of your strategy map. For each strategic objective indicate a measure you would expect to see in Pineway's balanced score- card for 2017. 3. 4.

1. Is Pineway's 2017 strategy one of product differentiation or cost leadership? Explain briefly. 2. Ramsey Corporation, a competitor of Pineway, manufactures electric motors with more sizes and features than Pineway at a higher price. Ramsey's motors are of high quality but require more time to produce and so have longer delivery times. Draw a simple customer preference map as in Ex- hibit 12-1 for Pineway and Ramsey using the attributes of price, delivery time, quality, and design features. Required Draw a strategy map as in Exhibit 12-2 with at least two strategic objectives you would expect to see under each balanced scorecard perspective. Identify what you believe are any (a) strong ties, (b) focal points, (c) trigger points, and (d) distinctive objectives. Comment on the structural analysis of your strategy map. For each strategic objective indicate a measure you would expect to see in Pineway's balanced score- card for 2017. 3. 4.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 17E: Evaluating selling and administrative cost allocations Gordon Gecco Furniture Company has two major...

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Balanced scorecard. Pineway Electric manufactures electric motors. It competes and plans to grow by selling high-quality motors at a low price and by delivering them to customers in a reasonable time after receiving customers’ orders. There are many other manufacturers who produce similar motors. Pineway believes that continuously improving its manufacturing processes and having satisfied employees are critical to implementing its strategy in 2017. Q.Is Pineway’s 2017 strategy one of product differentiation or cost leadership? Explain briefly.
Evaluating selling and administrative cost allocations Gordon Gecco Furniture Company has two major product lines with the following characteristics: Commercial office furniture: Few large orders, little advertising support, shipments in full truckloads, and low handling complexity Home office furniture: Many small orders, large advertising support, shipments in partial truckloads, and high handling complexity The company produced the following profitability report for management: The selling and administrative expenses are allocated to the products on the basis of relative sales dollars. Evaluate the accuracy of this report and recommend an alternative approach.
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