Under what circumstances should a company's management team give serious consideration to making an offer to supply private-label footwear to chain retailers in a particular geographic region?

• When the demand of chain retailers for private label footwear is rising faster than buyer demand for branded footwear?
• When the company has the ability to manufacture private label footwear at a production cost per pair that is at least $2 per pair below its per pair production cost of branded footwear
• When the data in the latest Competitive Intelligence Report indicates that all winners of contract for private label footwear in a geographic region in the past year had offer prices above $40 per pair.
• When the data in the latest Competitive Intelligence Report indicates than one or more rival firms were able to secure contracts at offer prices above $25 per pair
• When managers determine that all of the company's available production capacity will not be needed to produce branded footwear and that the total amount of idle production capacity at its production facilities will be sufficient to meet or exceed the 100,000 -pair minimum-deliver requirement of chain retailers in each region.