AFER Factors (sampling)

Here is a small "sampling" of the large number of factors^<Note 1>
used to evaluate a given enterprise and calculate its AFER^tm score:

(No order nor weight implied)^<Note 2>

00 - Level of complexity in the enterprise (e.g., reporting levels).
01 - Years in its present location.
01 - Percentage of business done in the state in which incorporated.
01 - Operations in tax havens.
02 - Percentage of enterprise ownership that is American.
02 - Corporate assets invested in stocks and bonds of other enterprises.
10 - Executive compensation relative to company performance (both up and down).
10 - Ratio of annual executive bonus budget to shareholder dividends.
10 - Public visibility of enterprise leadership.
10 - Percentage of the employees known by name by the top executive.
10 - Amount "skin in the game" by the major decision makers.
10 - Jail time by executives.
12 - Size of legal staff and consultants.
14 - Quality of the enterprise disclosures.
14 - Amount of "spin" in press releases.
15 - Choice of accountants and independent auditors.
16 - Enterprise mission (other than just to make money).
16 - Long range vision (20-50 years).
20 - Total number and level of subsidiaries and joint ventures.
20 - Partnerships and joint ventures with competitor enterprises.
26 - Employees replaced by outsourcing.
32 - Ethics of industry segment.
32 - Tax advantages granted to the enterprise by Federal, state, and local governments.
32 - Percentage of revenue on which taxes are paid.
32 - Sharing of information with enterprise peers.
32 - Spending on political contributions, lobbyists, and political issue advertising.
36 - Number of competitors to the enterprise.
36 - Ease with which a new competitor could enter the market.
36 - Government contracts obtained on a non-competitive basis.
36 - Customer freedom of choice to take their business elsewhere.
37 - Corporate growth during past decade which came from mergers and acquisitions.
37 - Complexity of scale relative to economy of scale.
37 - Mergers or acquisitions that reduced or eliminated competition.
37 - Leveraged buyouts and hostile takeovers.
37 - Bankruptcy filings and liquidations.
37 - Complexity of scale relative to economy of scale.
38 - Acceptance of consequences of poor decisions and poor performance.
40 - Enterprise contribution to society.
50 - Consistency and homogeneity of products and services.
50 - Profits from other than production of basic need products and services.
52 - Fixed consumer pricing for entire US market.
52 - Pricing of products and services relative to fair market value.
54 - Sponsorship of quality television programming.
56 - Accountability for the results of actions and actions of products.
62 - Financial write-downs.
67 - Number of lawsuits against enterprise.
72 - General public reputation.
72 - Respect by peer enterprises.
80 - CCC nominations and awards.

Note 1.	From data collected and assembled by Free Enterprise students at Zo^o University.
Note 2.	The exact formula is a very complex algorithm resulting from University student research and is a proprietary trade secret of the University Trustees and Alumni Fund.
Note 3.	Data is first sought from corporate disclosures, next from numerous public and private sources, followed by questions to employees and business associates of the enterprise, and - when all else fails - estimated by the senior students in the department (with assistance and guidance from trusted University alumni).
Note 4.	Wherever possible, quantifiable, numeric data is used in preference to subjective values.
Note 5.	Data errors will be corrected promptly upon proper receipt of objective, verifiable data.
Note 6.	A worthy participant in American Free Enterprise will usually have an AFER score of at least 3000.
Note 7.	The University trustees, students, alumni, and business partners make no claims as to how the AFER score could be used, and thereby they accept no responsibility for any decision someone chooses to make as a result of an AFER score having been assigned.