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Levis Case Study Levi’s Strauss Case (Group 5)Q 1. Calculate the pre-tax ROIC for Levi Strauss for both channels shown in Exhibit 2. So what?Answer: Wholesale channelOLS channelRevenue3550Cost3144Working capital711Property & equipment*627 Profitability (%)30.76923115.78947*Factory PP&E+Distribution PP&E+Retail stroresProfitability for Wholesale channel is approximately 30% and that for OLS channel is 15%. (Refer excel for calculations)Even though ROIC for.
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