Ramiro& Sons buys T-shirts in bulk, applies its own trendsetting silk-screen designs, and then sells the T-shirts to a number of retailers.

Ramiro wants to be known for its trendsetting designs, and it wants every teenager to be seen in a distinctive RamiroT-shirt.

Ramiro presents the following data for its first two years of operations,2012 and 2013.

		2012	2013
1	Number of T-shirts purchased	225,500	257,000
2	Number of T-shirts discarded	20,500	24,000
3	Number of T-shirts sold (row 1 - row 2)	205,000	233,000
4	Average selling price	$32.00	$33.00
5	Average cost per T-shirt	$17.00	$15.00
6	Administrative capacity (number of customers)	4,700	4,450
7	Administrative costs	$1,739,000	$1,691,000
8	Administrative cost per customer (row 7 / row 6)	$370	$380

.	Is RamiroRamiro's strategy one of product differentiation or cost leadership? Explain briefly.
2.	Describe briefly the key measures RamiroRamiro should include in its balanced scorecard and the reasons it should do so.