Julie Hilger Started New Treads to Combine Fashion and Sustainability

question 70

Essay

Julie Hilger started New Treads to combine fashion and sustainability. The original production of sandals made from recycled plastic has expanded to a complete line of casual footwear. Current sales total over $2 million. Julie hired the firm's first controller early this year, and has asked him to detail suggestions for ways to increase profits. Adrian Warring, the new controller, has compiled a list of recommended changes that focus on quality improvements. New Treads customers expect high quality at a low price, a "value" product. So the company must simultaneously watch costs and quality. After receiving his list of suggestions, Julie calls Adrian to her office and says, "I don't see how improving quality can increase productivity. In fact, it seems to me that efforts to improve quality will slow down production and decrease productivity."
Required:
Using specific examples, help Adrian explain to Julie why efforts to improve quality can also boost productivity. How does productivity play a role in the firm's strategy and competitive environment?

Apprehend the significance and methodology of territorial evaluation.

Understand the rationale for sales territory design and its impact on sales efficiency.

Recognize the application and importance of break-even analysis in sales.

Identify different selling approaches and their application to sales strategy.

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Definitions:

Survival Problem

A situation or scenario where an individual or group must overcome obstacles to remain alive, often used in psychology to study decision-making.

Genetic Mutation

A permanent alteration in the DNA sequence that makes up a gene, which can result in a change in the physical traits or health of an organism.

Dominant Gene

A gene that is expressed in the phenotype over a recessive gene when both are present.

Positron Emission Tomography

A medical imaging technique that produces a three-dimensional image of functional processes in the body by detecting pairs of gamma rays emitted indirectly by a positron-emitting radiotracer.