1. What responsibility centre that fits Mattel (Profit, revenue, investment, or cost centre) and where does it fits within Mattels structure?

2. Discuss the problems commonly thought to exist when attempting to measure the performance of the managers of the responsibility centes mentioned in Q1.

Mattel is an American multinational toy manufacturing company that was founded in 1945 in California. The company operates the facilities and sells products in numerous countries outside the United States. Mattel is the second largest toy manufacturer in the world in terms of revenue after The Lego Group. The company is most famous for the Barbie dol. The production of Barbie doll commenced in 1959 and the doll became the y's best-selling toy in history Mattel manufactures different toy products both in its own facilities and through third-party manufacturers. Mattel cooperates with unrelated entities that design, develop and manufacture products. As a part of the continuous effort to reduce manufacturing costs, Mattel produces its core products in the company-owned facilities. principal manufacturing facilities are located in Canada, China, Indonesia, Thailand, Mexico and Malaysia. Mattel's operating segments are separately managed business units that comprise of 1) North America (US and Canada), 2) International and 3) American Girl. The North America segment sells toys in the US and Canada including Barbie fashion dolls, vehicles and play sets, games, puzzles, building bricks, etc. The toys are designed for kids of different ages. Products in the International Segment are generally the same as those developed for the North American segment but sometimes products are adapted for international markets. Mattel sells its products in more than 150 nations. American Girl segment is a direct marketer and publisher of books and magazines for kids, sold in the US only Rachel Green was recently hired by Mattel as a Graduate Intern. Rachel has just finished a bachelor degree in accounting and is eager to apply her knowledge and skills in practice and learn more about multinational corporations the Account Manager in writing a report about Mattel's management accounting systems and to for improvement. To complete this task, Rachel started to collect information about the company: researching newspapers reports attendina meetinas and Her first task was to assist suggest ideas