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The installation of production improvement option D which boosts worker productivity by 50% by using robots to assist in producing footwear will reduce labor costs per pair produced by the greatest amount at a newly established production facility in Latin America, as compared to the per pair reduction that can be achieved at a production facility in North America. will typically result in a bigger dollar-amount reduction in labor costs per pair produced at a recently established production facility in Latin America than a production facility in North America because both compensation of workers and worker productivity in Latin America are so much lower than in North America. is a very economically attractive means for reducing labor costs per pair at a production facility in the Asia-Pacific. is a more economically attractive means for reducing labor costs per pair produced at production facilities in North America than for a production facility in the Asia-Pacific because compensation costs for workers in North America are so much higher than in the Asia-Pacific. reduces labor costs per pair produced by the greatest dollar amount at company production facilities in any region producing 200 or more models/styles of branded footwear with an S/Q rating of 5-stars or higher.

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