Homework answers / question archive / One appealing way for a company to adjust to favorable and unfavorable exchange rate adjustments to its total production costs stemming from shipping footwear from production facilities in one geographic region to distribution warehouses in another region is to Copyright @ by Glo-Bus Software, Inc

One appealing way for a company to adjust to favorable and unfavorable exchange rate adjustments to its total production costs stemming from shipping footwear from production facilities in one geographic region to distribution warehouses in another region is to Copyright @ by Glo-Bus Software, Inc

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One appealing way for a company to adjust to favorable and unfavorable exchange rate adjustments to its total production costs stemming from shipping footwear from production facilities in one geographic region to distribution warehouses in another region is to Copyright @ by Glo-Bus Software, Inc. Copying, distributing, or ard party website posting isexpressly prohibited and constitutes copyright violation. ship pairs of footwear from production facilities in those geographic regions where there are adverse exchange rate cost adjustments to distribution centers in those regions where there are favorable exchange rate cost adjustments. always avoid shipping any pairs to a distribution warehouse from production facilities in a different geographic region when the exchange rate cost adjustments are unfavorable; shipments from each production facility to other regions should always go only to those RRR regions where the exchange rate adjustments to total production costs are favorable. always lower the prices of footwear sold in a geographic region by the full amount of any adverse exchange rate adjustment per pair that the company incurs in that region and raise RRRR the price of footwear by the full amount of any favorable exchange rate adjustment per pair that the company receives. O ignore such adjustments altogether--the sizes of the favorable and unfavorable exchange rate adjustments in each geographic region will tend to cancel each out over the various decision rounds and thus have little or no net long-term effect on the company. adjust prior year shipping patterns and its pricing and marketing strategies to sell more pairs C = A in regions where exchange rate adjustments are favorable and fewer pairs in regions where O = N the cost adjustments are unfavorable--such actions tend to boost profits in regions with favorable adjustments and lessen the adverse impact on profits in regions with unfavorable adjustments.