Procter & Gamble Uses Category Managers to Organize by "Global

question 164

Multiple Choice

Procter & Gamble uses category managers to organize by "global business units" such as baby care and beauty care. Cutting across country boundaries, these global business units implement standardized worldwide pricing, marketing, and distribution strategies. The baby care category manager would have

• A) completely different duties from the brand manager.
• B) profit and loss responsibility for all baby care products in the line.
• C) to use persuasion as opposed to direct authority to get any goals achieved.
• D) no authority over functions, except marketing, that affect baby care products.
• E) no authority on U.S. baby care product sales.

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Definitions:

Depreciation Process

The systematic reduction in the recorded cost of a fixed asset over its useful life, reflecting its decrease in value over time.

Matching Principle

An accounting principle that dictates expenses should be recognized in the same period as the revenues they help to generate.

Market Value

The present rate at which a service or asset is available for purchase or sale in the marketplace.

Capitalized Interest

Interest expenditures included in the cost of a self-constructed asset