efore attempting the$$ exercise, click hereLOADING... to read the Global$$ Chemical's COVID$-19$ Capacity Decision case study.

Global$$ Chemicals' capacity decisions focused on

A$.$

competitors leaving the industry.

B$.$

market and profitability data.

Your answer is correct.C$.$

trade association data.

D$.$

statistical modeling.

Part $2$

Global Chemical misjudged capacity needs because of

A$.$

$$COVID$-19.$

B$.$

reduced fracking in the Permian Basin.

C$.$

a slowdown in the world economy.

D$.$

All of these contributed to the capacity misjudgment.

Your answer is correct.

Part $3$

Global Chemical may have reduced its risk of expansion by

A$.$

more effective net present value analysis.

B$.$

better analysis of its$$ break$-$even point.

C$.$

leading demand with a$$ one$-$step expansion.

D$.$

lagging demand with an incremental expansion.