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:

Debt Versus Equity

A comparison between using borrowed funds (debt) versus shareholder funds (equity) to finance business operations or growth.

Depreciation

The gradual reduction of the recorded cost of a fixed asset over its useful life.

Net Income

Net income is the total profit of a company after all expenses, including taxes and costs, have been subtracted from revenues.

Indirect Method

The indirect method is a way of calculating cash flows from operating activities for the cash flow statement by starting with net income and adjusting for changes in balance sheet accounts.