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When Shop Smart Opened Its First Super Market in China

question 95

Multiple Choice

When Shop Smart opened its first super market in China it was unable to generate any sales. After conducting a research, it was understood that the local sales personnel found it difficult to communicate with the American store managers. In addition, Chinese consumers found it difficult to shop in the American way. Shop Smart's failure in China can be attributed to the lack of:

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Definitions:

Profit Center

A profit center is a branch or division of a company that is treated as a separate unit for the purpose of assessing its revenue-generating ability and profitability.

Department Manager

A professional who oversees the operations and employees of a specific department within a company, ensuring goals and objectives are met.

Authority

The authority or capacity to command, make choices, and ensure compliance.

Responsibility Accounting Reports

Financial reports that measure the financial performance of different segments or departments of an organization, attributing revenues and expenses to the managers responsible.

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