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Strategic Management StratSim
Company “B”By Olivia Ortega, Jennifer Kakacek, Nikole Ellison and
Jordan Truchan
The “
Buzz
y”
Sports car
Hold 100% of the market still
Marketed to high income, and singles
MSRP $35,652
The “
Beaut”
Luxury Car
We currently hold ?% of the market
Marketed toward high income and enterprisers
MSRP $33083
The “
Bach
elo
r”
AEV
We currently hold 100% of the market
Marketed towards eco-conscious consumers and value seekers
MSRP $28380
Sco
reca
rdStrategy Map Strategic
ObjectivesPerformance Measures
Initiatives
Financial•Increase Net Income•Increase Stock Sales
•Increase Sales•Increase shareholder value
•Net Sales•Stock Issue/Purchase (%)
•Increase Sales through Marketing and Production•Increase Stock Sales
Competition•Increase Market Share•Dominate markets
•Increase Market Share•Focus on New Product and Upgrades
•Market Share ($ and %)•Change in Sales/New Product
•Advertise New Product and Upgrades to Vehicles
Internal Process•Increase R&D •Increase Advertising
•Improve Car Ratings•Increase Advertising of Products
•Car Ratings (#)•Promotion and Advertising ($)
•Increase Upgrades•Increase Advertising
Learning and Growth•New Product Focus
•R&D on New Product
•R&D Expenditures ($)
•Increase Spending on R&D
Sco
reca
rdStrategy Map Strategic
ObjectivesPerformance Measures
Quantitative
Financial•Increase Net Income•Increase Stock Sales
•Increase Sales•Increase shareholder value
•Net Sales•Stock Issue/Purchase (%)
•Increase by 8%•Increase by 6%
Competition•Increase Market Share•Dominate markets
•Increase Market Share•Focus on New Product and Upgrades
•Market Share ($ and %)•Change in Sales/New Product
•Increase by 10%•Increase by 8%
Internal Process•Increase R&D •Increase Advertising
•Improve Car Ratings•Increase Advertising of Products
•Car Ratings (#)•Promotion and Advertising ($)
•All ratings above 4•$140 Million on Advertising
Learning and Growth•New Product Focus
•R&D on New Product
•R&D Expenditures ($)
•$10 Million in R&D (20 Surveys)
Marg
ins
Vehicle
Per UnitRevenu
e
Per UnitCOGS
Per UnitMargin
MarginPct.
Adv Promo
Per UnitContrib.
Contrib.Pct.
Bachelor $28380 $22716 $5664 20% $703 $4961 17%
Beaut $33083 $28135 $4948 15% $465 $4484 14%
Boffo NA NA NA NA NA NA NA
Buzzy $31374 $20553 $10821 34% $1414 $9407 30%
Total $30252 $24497 $5755 19% $679 $5076 17%
Product Contribution – Period 10
Firm B Product Contribution
Net
Inco
me
Sto
ck P
rice
Mark
et
Share
EN
D !
!!!!
!!!!
!!!!
Cocktails anyone?