Business Strategy game

My Learning from Strategy game played for Shoe factory, 5 Mid-day sessions.

• ·         Demand is very unpredictable, the forecast must be done considering many factors.
• ·         Increase number of shops by seeing the demand.
• ·         Brand image is very important to create awareness of your product to the consumers, Brand endorsements helps in marketing.
• ·         Superior value of your product should be monitored and maintained with respect to the industry, Don’t change your vision and product line. 

• ·         Sufficient liquidity is critical for the smooth functioning of the company so that the company can focus itself more on sales. It helps maintain bond rating.
• ·         Pricing strategy should be based on each individual market e.g. Customers in Europe are willing to pay higher than US and Asia market. 

• ·         It’s better to raise cash from external sources (debt and equity) rather than operating with minimum cash.
• ·         It’s better to hold some levels of inventory rather than face stock outs which has a tremendous implication on the sales. As it reduces image rating bad time.
• ·         It’s better to invest in productivity improvements (automation) to reduce on the costs on the long run.
• ·         Labor compensation should be little above the geographic regional average to ensure high productivity and less quality issues.
• ·         Rebates help in increasing sales.