Capital Management

just an update from the previous videos. Free shipping will most likely not increase your profits. We guarantee it will pay itself and more. I recommend increasing capacity and keep focusing on your profits. We’re at the middle of the pack and wanted the best strategy to move up the ranks. So for the last year I didn’t stick to the rule that the internet price has to be 40% higher than the wholesale price. I now have another question about capacity. As already mentioned earlier, not every decision has to make sense. The value that yields the highest profit value is the one you want to go with for this decision round. Similar to the branded production, try out the different values to see which combination will give you the lowest Average Production Cost value for your plant and hence, the highest profits. Same for your superior material. In my opinion, I believe the other teams are thinking on exploit the private label. If you have a low stock price, repurchasing stock is a better option for increasing ROE and EPS. construction cost to be financed with debt. Let us take a look at the Plant Capacity / Upgrades page first. In the first few years, this will be pretty difficult to determine. total sales volume estimate into the Branded Pairs to be Manufactured in Year XX slot for North America, write down your reject rate and add it to your previous total N.A. This site uses Akismet to reduce spam. Do the same for your E-A and A-P volumes and plug them into the A-P manufacturing slot. The same accounts for your Change in Annual Base Wages and Incentive Pay values. This decision page is mainly a waste of money and we will not spend a lot of time with this page. im at year 17 and perfect score twice, 1st in last 3 years and 2nd twice. You need your capacity and it is never a good idea to sell your existing capacity. So I run into problem again! Be careful: Sometimes, especially for advertising, numbers that are way off (for example $100 and $8,000) can yield about the same net profit with only a little difference. While you already have a good estimate of how many shoes you are going to sell in each region, you still need to consider your rejected pairs during production. If you are competing with five teams, it is vital for each of the team at least aims 20% of the market share in every business segment. So I have plant in NA, EA and AP, but right now I am only using 70% of the capacity because the demand is quite small for me. While they might boost your image rating, they will decrease your profit. I’m playing the “new” version of the game, and your guide has worked perfectly for the first two years! Business Strategy Game and Glo-Bus Hacks and Cheats. Therefore, pick your winning strategy – profits and stick to it. It typically keeps increasing until a certain price point and then starts to drop. Celebrities will enhance your marketing efforts and help you sell more shoes. Thanks a lot! Avg.” values have changed. – You are taking over an existing business. I believe it varies based on your game’s situation. Do not price your shoes too low, so that you will not make any profits with your sales. Hi, Working with a lower cost price is directly linked with attaining the aim of getting a high image rating. When toggling the materials, features and TQM, let the features remain at $50K. Increase S/Q ratings? Business Strategy Game (BSG) Helpful Tips!!! It’s a lot of trial and error until you find the best possible value and it takes a lot of time at the beginning. How did your 2nd decision go? The novel coronavirus – COVID-19 pandemic is, [caption id="attachment_12660" align="aligncenter" width="638"] How to Win, How to Develop a DNP Project Using an Evidence-Based Approach, Strategies for Writing a Powerful and Convincing, Leadership and Management Assignment Help, The patented styling/quality (SQ) rating of the business in every geographic area. Sometimes that’s cutting expenses, sometimes that’s increasing expenses (even though it might not make sense at first). Hence, find the combination that gives you the highest profit. This undertaking will, in turn, offer you a great opportunity of being profitable. Entering year 15 I am still doing 8 star but the demand forecast is super low. Thank you very much for your kind words! I wish you the best of luck for your game. Yes, I would only add capacity onto existing plants and not build new plants. By clicking on the “Purchase Capacity” button, you can see whether someone else did the mistake and sold capacity. It will be very helpful for us and will be very grateful Do you still have your upload reports of all your years ? Here, you will determine the Percentage of Superior Materials, Number of Models, Enhanced Styling / Features, TQM / Six Sigma Quality Program, Change in Annual Base Wages, Incentive Pay, and Best Practices Training. There are two parts to this site. My team and I are going to the second round of decisions, so I think we’re still on time to switch towards another area in the market. Go ahead and try out which combination yields the highest profits. However, it will also decrease your ending cash. In Y12, I paid early payment 12,000k at 8.5% and continued borrowing 70,000k at 4.5% for 5-year). Is this … My group and I are about to complete year 17 for the game. Right now I am doing the second year decision, I’m doing star 8 and 100 models, did 7 stars and 100 models in first round and the result was not very good. Put on “All Employees” as well as workforce Diversity program. You can ignore the Internet Marketing and Wholesale Marketing pages because they will just reflect your internet and wholesale decisions that you already plugged in on the previous pages. Advantage of this is, that you don’t have to pay too much attention to your competitors. View Invitational I would like to ask you about the Dividends. Equally, you can opt for the low price strategies, but you will have to sell tons of shoes to accrue enough revenues to increase profitability. On this page, you will optimize your entries and toggle each value until your reach the maximum profit possible for each entry. PS: I do the 5-year-loan 12,000k in Y11 (7% interest); In year 12, I paid #1 Long-Term (early payment) 12k at 8.2% AND borrow 70,000k 5-year-loan at 4.5%. If you reach the last decision round, comment down below and I will give you some hints on how to boost your net profits for the last year and gain some extra points. I started with paying $0.05 dividends and increased it by $0.05 every year. BSG Online Game Tips – The Advantages of Debt and Equity. What I like about my strategy is that you do not necessarily have to keep an eye on your competitors. My direct competitor is now selling 8 stars with more than 400 models in wholesale so I think i will be at a even better position selling 50 models. Even though this game is said to be a business simulation, get rid of the thought that all decisions have to make sense and be logical. In the first years, the estimate of the industry average might be a little off the +2%. You have successfully adjusted to your competitors. With this strategy, you will be sure to make profits, which is the key to this online game. 5 Top BSG Tips From The Free Business Strategy Game Tips Guide At WinBSGOnline.com 2. However, I would recommend not taking out any loan if possible. That's the reason you beat this other team; your net profit was higher than their net profit. To do so, first plug in your N.A. This would leave you with a bunch of shoes unsold. When it comes to the distribution of branded shoes, make sure you have typed or labelled the number of boxes you want to distribute to each region. Do you wish to learn how to win the BSG online business strategy game? With increased competition, prices tend to decrease. I’m play a new version of BSG ,we have already completed year 17 and now our team have a problem with struck in the middle stage that cost can’t decrease more and this year other company in the industry have a high SQ star and low cost (price war) that we can’t fight them because our cost is too high. update them with tips … You will soon know why. After a couple of decision rounds, you will get a feeling for it and it will become easier, no worries. Please delete one if there is an extra comment. These actions of the company will show corporate citizenship and its practice of operating the business in a manner that is socially responsible for about 4-5 years. I personally would not bid higher than $5,000 – $6,000. We recommend to only building onto the existing plants. Let us move on to the tricky part of this decision page. I would always encourage you to bid on available celebrities. This is very helpful. Like I said before, you should be building capacity, yes. With our strategy in mind, I would recommend addition capacity to already existing plants rather than constructing a plant in a new region. Again, this can be trial and error for a couple of decisions but you should get a feeling for what multiplier is best for your company. Or you have read it but still do not know what strategy to pursue or what is going on? This particular Business game strategy is useful when playing against many people who have played the game before, such as summer school or the the Business Strategy Grand Championships. as I described in my post, I’d go with the “low models, maximum profit” strategy as it is easy to follow and you determine the market. Thoughtfully, decide your plan for setting up a plant capacity. Thank you so much for the good recommendations. Hello, Hi! Do not worry about those numbers, they will just show you whether your investment is profitable or not. I daily (thank you hootsuite for making it so easy!) The closer your actual numbers are to your estimates, the more likely it will be that you earn bonus points from the Bull’s Eye Award (be within a 5% range of the estimates). Managing Strategy (BUSI1324) Uploaded by. What should I do for year 12 and 13? As already mentioned, it is important that you ship all your shoes for the North American warehouses and the Latin American warehouses from the North American plant. So your costs will be relatively low as well and the private label will be a very important factor of yours. On this screen, you can handle your financial decisions for your company. In general though, a high S/Q strategy … The Models Offered estimate seems pretty fair and you do not have to worry about it. and A-P plant, focus on your Total Branded Production Needed to Achieve Year XX Sales Forecast section on the lower half of the page. This way, business is evenly represented in all the regions. Help, hints, tips, and strategy for The Business Strategy Game (Thompson & Stappenbeck) which will greatly improve your game performance. However, keep in mind that your regional endorsement value should not be higher than 400 in any region. As for the TQM, the best will be between $0.70 and $0.80. Select +2% for the “Percent Change in Competitive Impact of All Other Factors from Previous Year”. Contrary, you can increase the employees’ wages in percentages at a time. In addition, your Retail Outlets values should always be the highest number possible that you are allowed to enter. It is not. This way, you will cut operating costs while building capacity where and when necessary. The company that offers the lowest price will sell all its supply first, followed by the company with the second lowest price offered, and so on. First, set your Number of Models to 50, as determined earlier at the Sales Forecast page. So, play around and find the best combination for your given S/Q rating that yields the highest net profit. Does it affect any other factors? This is because your competitors are adjusting and trying to find their strategy. Paying dividends will increase your stock price and your ROE. From this highest whole dollar amount, I plug in every possible value around it and find the price that yields the highest net profit. On this decision page, you can bid on celebrities. After you have done this for both the N.A. My question is what if I decreased the “pay dividends” to $0.15 from $1.00? Opting for the high-quality strategy allows you to charge more per shoes to increase your profit margins, thus winning your game. This is why building additional capacity is so important. Your numbers might be a little bit off due to the reject rates. Almost done, the last decision page. In the last section of the Plant Capacity / Upgrades decision page, you can construct a new plant in either of the two regions where you do not have a plant yet or you can build additional capacity to your N.A. Check for price elasticity: After the sales forecast, check if changing the wholesale and internet … If I have further questions do you mind I ask you for help? message me on instagram if you need more help!!! Two of the most important things to do here are analyzing your competition and optimizing your values. You can allocate the amount to the markets you deem necessary. My guide follows the rule “highest net profit” is key to success. I cannot make any money there. Your estimate of the industry average for the internet retail price does not change with your adjusted competitive that you set to +2% before. According to the change, you can estimate the next year’s average industry internet price and plug it in. On this page, you will set your values for your branded production. I put $1.00 pay dividends, which turned out 20,000k in total. Should the need to buy capacity arise, always consider issuing stock as opposed to taking loans. Module. Even though corporate citizenship is associated with wastage of money, you can still increase your image rating if you pick some of the options therein. It was set Pay Dividends $1.00, which turned out 20,000k in total. The higher your celebrity endorsement value for a specific region, the more your advantage in attracting buyers to purchase your branded footwear. Business Strategy Game tips and tricks What should I do in this case? I did not “stock issues” or “issue purchase” in the those years. When contracting a celebrity, your advertising efforts in the Sales Forecast section should not be low. Do not worry about the Plant Capacity / Upgrades page. You now need the forecasted Regional Sales Volume for both the Internet Segments and Wholesale Segments in all four regions that you wrote down earlier. From experience I’d say tho that it is already too late to adjust to my strategy presented. Business Strategy Game video tutorial gives the top five tips & strategies for the McGraw Hill Business Strategy Game Online. Here, you will decide for how much your shoe is going to sell. I would still go for the 50 models and make sure to buy or build capacity so you have enough for your private label. And he also purchase 4000 capacity in the first year but no advertising expenses. I have encountered two successful strategies so far: medium-quality shoes (S/Q rating of 5-6 stars) paired with high number of models (250-350 models) and high-quality shoes (S/Q rating of 8-10 stars) paired with low number of models (50 models). The market share of the private label and patented footwear associated with each of the four geographic areas stated in the BSG game. Before you even start plugging in any numbers, it is important that you decide for a strategy to pursue for the game. That combined will give you a good boost for the last year. This Reddit is dedicated to help undergraduate and graduate students excel at the McGraw-Hill Business Strategy Game or BSG-Online. I’m glad I was able to help and good luck to you! congrats on your success! The rule of the game is to compete with the other students’ teams to stay ahead to gain a competitive advantage over other teams. The first is the paid guide. After you have done this, you repeat the same procedure for Europe-Africa and Asia-Pacific with the A-P plant because it is cheapest to ship shoes from A-P to E-A. More importantly, ensure that you are shipping them from the right plant. We were actually thinking on building capacity in LA for next year, however, two of the other teams already built capacity for 6,000 pairs in total (we are only 4 teams in total). Fin. Now, I am worried about the future rounds. I was wondering how much more additional capacity that I should purchase after I’ve bought the first 1000 for NA. Like should I add up all my wholesale prices from the 4 regions and then divide by 4 to get an average wholesale price and multiply by 1.40 to get the internet price or should I base it off the lowest wholesale and then multiply by 1.40 to get the internet price? Academic year. Thanks for your strategy! Acquiring success is the primary objective in business, and it requires working on all the vital factors to achieve it. Again, it is important that you keep in mind to optimize your profits. I don’t know why the game suddenly changed your numbers but I recommend using every last bit of your capacity. Then, just like you did before, plug in different values for your internet price and see, which price yields the highest net profit. You are now done with all your decisions for the Corporate Citizenship decision page and should hit the “Save Decisions” button on the upper right-hand corner. we are having a horrible time of having left over inventory .. we are in year 13 and our numbers are ok we were 1st place last on year 11 and second place on year 12 but i having a feeling we have been focusing so much on our current numbers we aren’t going to end well any advise on what we should do on inventory and other sections of the game. After you have calculated the manufacturing volume for each region, add up your N.A. Hi You have to base it off the HIGHEST wholesale price, just to be safe Like that, all 4 regions are guaranteed to be 40% above wholesale price. . You might think that using green footwear materials or using recycled boxing / packaging is a good decision, especially with the currently ongoing environmental debates. Hi there! 1.Check for Price Elasticity Visit WinBSGOnline.com For Your FREE Tips … Companies need to raise funds using either debt … So the question is: would you recommend for my team to still increase capacity despite this fact? However, try your best. . Purchasing capacity is 20% cheaper than building new capacity on your own. I would recommend purchasing the upgrade for both of your plants within the first four years. However, the private-label market is set up the way that only a limited demand is given each year. Do not worry about me skipping the Internet Marketing, Wholesale Marketing, and Celebrity Endorsements pages. To think of the strategy “play big, to win big”. Your Delivery Time should be set to 3 weeks. Toggle between 6% and 8% or up to 14% to maximize profits across the regions. When I played the game, I barely looked at what my competitors were doing. And profit is what the game is all about. Yes, despite your competitors building capacity as well, I recommend increasing capacity in a reasonable amount. Wow, you are done! Hi! The following are a few tips and tricks that will deliver you a win in your BSG game. my advice would be to read my guide and follow the steps. I recommend building additional 1,000 capacity for the North American plant in the first year, if your cash balance allows it. Most of the decisions you can make here are a waste of money and will not benefit your company. Try and set it to “Yes”. at least one of the two teams has an S/Q of 8* and low prices so far (yes, they are in first place for now)… what do you think we should do?. Try not to spend lots of money in your business if … It will be disastrous to sell your capacity as you will need it at some point. This means, you have a channel conflict, meaning that your Retail Outlets number will decrease in the next year and less retailers are willing to sell your shoes. Here is the real deal ladies and gents! It will be, trust me. If the uncertainty is too great—say, the impact of robotic nanotechnology on manufacturing industries—game planners can’t offer enough guidance for the players to make reasoned decisions. You are almost done for the Sales Forecast decision page. Hey!! Otherwise you will not sell any shoe either. Does it hurt any other factors? The Business Strategy Game Tips Guide YouTube video was uploaded yesterday. This is probably the most important decision entry page in the game and you will be spending most of your time here. So, should I decrease pay dividends here to $0.15? But again, thanks! If you are competing with five teams, it is vital for each of the team at least aims 20% of the market share in every business segment. After clicking on the green “Go to Decisions/Reports”-button in the corporate lobby, you can see your profits in the lower left-hand corner. This can be a very tricky decision and you need to analyze your competitors’ prices. I’d also like to point out that it appears the developers threw out NAFTA in the new version, so tariffs hurt pretty bad in Latin America. So if one of your markets is not satisfied or prices are high, I would built capacity to “attack” this market and sell a lot of shoes for a cheap price, to guarantee you the lowest price so that you sell all your offered shoes. This game can be overwhelming, so anything to help other players! Leave everything else unchanged. If there is no one else engaged in the private label market, price your shoes high. Thank you, Fin! Please post any information pertaining to: strategies, tips, final … Hi Dennis. Hi, thanks for the great strategy! Gamers like myself who play BSG or Glo-Bus instinctively think… there’s got to be a hack .. or a cheat to either BSG or Glo-Bus. You can find viable strategies for winning BSG online game from BSG tips, uncovering all the information that will help you get ahead in the game … Sales … You possible might decrease your net profits with this, but it is definitely worth it and will pay off in the long-run. . However, it is advisable to restrain on how much you intend to invest in this segment. but out industry there is a direct competitor for me, he is also star 8 and 50 models, and he prices so low for wholesale, only 47! Even more important is, to stick to it! This way, you will increase your learning curve while the shoes cost less. Which wholesale are you referring to? Now, you know how to win the BSG online. If your results in the first year are not too good, it’s not a big deal. Well, this is possible through the Business Strategy Game (BSG). Besides, you can price your shoes at least $5 below the average wholesale price in the industry for the region. However, if done right, it is worth the time as it will yield the maximum profit possible and success in your industry. No worries, this is logical and you did nothing wrong. One week they might increase, the other they might increase by just a little or even decrease. Hence, keep track of the industry’s internet price and how it changes. But this year the shipping is too high from AP to LA so I cannot make any money from LA. I would look at the Margin Over Direct Costs value at the very bottom of the page to see where it is most profitable to ship your shoes to. You are now all set to dominate your industry and win the BSG! This decision page is mainly a waste of money and we will not spend a lot of time with this page. Now, decide to which region you want to ship your private-label shoes. At the end, I increased dividends to boost my ROE. entering zero in the input field) in a specific area is also a decision. I like to have around $8-10 million ending cash available after all my decisions are made. Running a business isn’t child’s play, but if the strategies to operate a business can best be understood by just playing a game, could it be exciting? I never really watched my EPS or credit rating (ofc credit rating should be a B at least). And you said I should only add capacity onto existing ones instead of building a new one in LA right? If you find capacity available for purchase, I would always directly purchase it. Hi. I will just adjust it first and see what happens, thanks a lot:). I guess because i grew too fast last week, this week’s net profit is negative (I didn’t make any adjustment yet). Since you’re only in the second year, I would honestly decrease your models to 50. However, do not forget to calculate your possible additional expenses for your celebrities. You will get the hang of it after the first few decision rounds as it is always the same procedure. Thank you in advance! In the Private-Label Production field, use all your remaining available capacity, even overtime. I feel you. There’s everything explained in detail. … Here, you have the opportunity to sell your existing capacity. As always, do not forget to save your decisions after you are done. That isn’t really strategy at all. Thanks a lot! Be cautious though: Do not only look at the percentage change in net profits, but also at the total value as the total value might change sometimes but the percentage change remains the same. Whichever way you choose, the end (winning) will justify the means! Yes, it’s not too late yet to follow through with my tips. But do whatever is necessary to maximize your profits. ?… We have good market share in NA and, last year, we needed to ship the rest of the shoes from AP (incurring in shipping and tariffs costs, hence, the thought of adding capacity in LA). So when following the steps described above, you will have positive ending cash really soon again. Promise I won’t have tons of question haha. First, have a look at Market Snapshot, 2 strategies can to go Top of the Game is G and H. G Company follows the High Quality strategy with low number of models.

How Often To Add Wood Chips To Electric Smoker, Fresh Thyme To Dried, Jenny Craig Substitutes List, Workout Aesthetic Pinterest, Gloria Gaither Songs, Unconditional Love Examples, Pibb Xtra Walmart,