top answer: Each student, independently of the team will prepare a brief summary for the week’s simulation effo
Each student, independently of the team will prepare a brief summary for the week’s simulation efforts. This report will include the following information:
- What was your one corporate generic strategy as reviewed from our text for the week? Break this down by your target market and your competitive advantage. Why? Did your overall strategy change since week 1? Why?
- What was your strategic action plan going into the rounds detailed in Blackboard including the reasons for the moves and how it relates to your overall strategy? What are your objective and measurable goals for the moves? Did you have to make operationally reactive moves not related to your strategy? Why?
- What was the objective, fact-based results compared to your intended moves and the reasons of these moves generally? How did your moves advance your one Generic Strategy? Be specific. Did you get the objective results you expected? Why/why not? Share any objective measures from the simulation program that are pertinent to the strategic implementation results and note any purely operational moves. How did your competition and the external environment impact your moves? What is your analysis of this data results compared to your intended results?
- What do you think the next set of objective and measurable moves you will have to consider, and what will you suggest to your partners regarding next week’s moves?
- What have you learned and how does this relate to other lessons in this course and to your career?
- Provide a log regarding the specific dates and times that you accessed the simulation system including specifically when and how you and your teammate reviewed and discussed the simulation system data and decided on your moves to make. A sample is provided in week 1.
Your report this week should cover periods 1 thru 4 inclusively with fact-based objective data that you analyze from all 4 periods.Your grade for each of the simulation report papers will be based on your analysis and critical thinking around the selection and implementation of the corporate strategy for your company. Your analysis must be increasingly more thorough with each paper as you become more familiar with the simulation program and with the concepts from our course. The grade will also include a portion based on your team’s current position and your team’s work together. Review the required components in the grading rubric for the simulation paper.Submission Details:
4/7/22, 6:29 PMStratSimManagement @ Interpretive Simulations
Page 1 of 3https://app5.interpretive.com/ss7s22/index.php
Decisions / Decision Summary
Interior Styling Safety Quality Total
Maximum 10 12 10 12
Firm Maximum 8 8 7 9
Cost to Increase by 1 (mill.) $290 $306 $423 $445 $1,464
Est. cost savings of increase
(mill.) $4 $1 $2 $1 $8
Increase Attribute: No No No No
Curr. Expenditure (mill.) $0 $0 $0 $0 $0
Technology
Dev.
Center Project Class Size HP Interior Styling Safety Quality
Base
Cost*
Current
Expense
(mill.)
Maximum: 8 8 7 9
1
CA001
New Vehicle
Launching Y#4
AEV 50+0
150
+0
6
+0
5
+0
5
+0
7
+0 $26,346 $455
2 no project
3 no project
Construct a new center for $643 Million
Total Expense: $455
* Base cost only; use the Pro-Forma for a projection of the unit cost when you launch the upgrade.
Product Development / Projects
No concepts were created in this year
Product Development / Concepts
Corporate Advertising Millions
North $42
South $60
East $25
West $25
Social Media $80
Direct Marketing $40
Total $272
Ad Themes
Segment Targets
Marketing / Corporate
✓ Interior ✓ Styling
✓ Safety ✓ Quality
✓ Performance
Showroom
StratSimManagement Past Start 1 Year 2
Stock Price: $37.77Introduction Company Market Competition Tools Decisions
Firm C © 2022
4/7/22, 6:29 PMStratSimManagement @ Interpretive Simulations
Page 2 of 3https://app5.interpretive.com/ss7s22/index.php
✓ Value Seekers (1) ✓ Families (2)
Singles (3) ✓ High Income (4)
✓ Enterprisers (5)
Vehicle Class MSRP
Dealer
Discount
Advertising
(millions)
Advertising
Theme
Promotion
(millions)
Sales
Forecast
(000’s)
Remove
From
Market
Cafav F $29,361 13.0% $60 Safety $40 150 No
Camini M $24,144 11.0% $40 Quality $30 225 No
Climax L $41,997 18.0% $80 Styling $20 120 No
Totals $180 $90 495
Marketing / Products
Total North South East West
Full Coverage 800 200 250 150 200
Established 372 88 101 91 92
Sched. Change 29 8 8 6 7
Coverage 50.1% 48.0% 43.6% 64.7% 49.5%
Dealer Inc./Dec. (0% limit: ±0) 4 1 1 1 1
Coverage with Current Decisions 50.6% 48.5% 44.0% 65.3% 50.0%
Training and Support (mill.) $60 $15 $16 $14 $15
Per Dealer $139,535
Note: The estimated cost of opening or closing a dealership is $2 million. Average overhead per dealer is estimated at $300 thousand.
Distribution
Prev.
Sales
(000’s)
Current
Inventory
(000’s)
Scheduled
Production
(000’s) Flex
Retooling
Costs
Mill. $
Cafav 144 0 160 Yes $54
Camini 243 3 230 Yes $25
Climax 134 4 120 Yes $0
Total 521 6 510 $79
Capacity (000’s) 510
Scheduled Production 510
Est. Plant Cost for Add’l 100k Mill. $ $782
Capacity Change (000’s) 1
Est. Plant Cost Mill. $ $8
Manufacturing
Est. Plant Sale Price Mill. $ n/a
Book Value Mill. $ n/a
Loss on Sale of Plant Mill. $ n/a
Finance / Cash
4/7/22, 6:29 PMStratSimManagement @ Interpretive Simulations
Page 3 of 3https://app5.interpretive.com/ss7s22/index.php
Current Cash Balance $4,284M
1 Year CD Maturing @ 2.0% $53M
Purchase 1 Year CD @ 3.0% $0M
Current Stock Price $37.77
Current Shares Outstanding 265M
Current Market Value $10,009M
Issue Stock (Negative value is repurchasing.) $0M
Dividends Paid $500M
Finance / Stock
Short-Term Debt
Loan Balance @ 7.5% $4,891M
Loan Repayment $0M
Long-Term Debt
Current Bond Rating B
Issue Bonds @ 5.5% $0M
Bonds Outstanding
Year #1 @ 6.0% $238M
Total Debt $5,129M
Finance / Debt
There is no special decision this period.
Special Decisions
4/9/22, 9:44 PMStratSimManagement @ Interpretive Simulations
Page 1 of 3https://app5.interpretive.com/ss7s22/index.php
Decisions / Decision Summary
Interior Styling Safety Quality Total
Maximum 11 12 11 12
Firm Maximum 8 8 7 9
Cost to Increase by 1 (mill.) $333 $370 $493 $462 $1,658
Est. cost savings of increase
(mill.) $7 $2 $4 $2 $15
Increase Attribute: No No Yes No
Curr. Expenditure (mill.) $0 $0 $493 $0 $493
Technology
Dev.
Center Project Class Size HP Interior Styling Safety Quality
Base
Cost*
Current
Expense
(mill.)
Maximum: 8 8 7 9
1
CA001
New Vehicle
Launching Now
AEV 50+0
150
+0
6
+0
5
+0
5
+0
7
+0 $26,524 $455
2 no project
3 no project
Construct a new center for $659 Million
Total Expense: $455
* Base cost only; use the Pro-Forma for a projection of the unit cost when you launch the upgrade.
Product Development / Projects
No concepts were created in this year
Product Development / Concepts
Corporate Advertising Millions
North $30
South $30
East $10
West $10
Social Media $35
Direct Marketing $25
Total $140
Ad Themes
Segment Targets
Marketing / Corporate
✓ Interior ✓ Styling
✓ Safety ✓ Quality
✓ Performance
Showroom
StratSimManagement Past Start 1 2 Year 3
Stock Price: $46.67Introduction Company Market Competition Tools Decisions
Firm C © 2022
4/9/22, 9:44 PMStratSimManagement @ Interpretive Simulations
Page 2 of 3https://app5.interpretive.com/ss7s22/index.php
✓ Value Seekers (1) ✓ Families (2)
Singles (3) ✓ High Income (4)
✓ Enterprisers (5)
Vehicle Class MSRP
Dealer
Discount
Advertising
(millions)
Advertising
Theme
Promotion
(millions)
Sales
Forecast
(000’s)
Remove
From
Market
CA001 A $45,000 10.0% $30 Safety $10 100 No
Cafav F $29,361 13.0% $40 Safety $30 200 No
Camini M $30,144 12.0% $20 Quality $20 200 No
Climax L $41,997 18.0% $30 Styling $15 100 No
Totals $120 $75 600
Marketing / Products
Total North South East West
Full Coverage 800 200 250 150 200
Established 401 96 109 97 99
Sched. Change 4 1 1 1 1
Coverage 50.6% 48.5% 44.0% 65.3% 50.0%
Dealer Inc./Dec. (0% limit: ±0) 30 10 10 0 10
Coverage with Current Decisions 54.4% 53.5% 48.0% 65.3% 55.0%
Training and Support (mill.) $50 $12 $14 $12 $12
Per Dealer $122,249
Note: The estimated cost of opening or closing a dealership is $2 million. Average overhead per dealer is estimated at $308 thousand.
Distribution
Prev.
Sales
(000’s)
Current
Inventory
(000’s)
Scheduled
Production
(000’s) Flex
Retooling
Costs
Mill. $
CA001 0 0 50 Yes $79
Cafav 176 0 250 Yes $134
Camini 256 0 150 Yes $0
Climax 136 0 200 Yes $120
Total 567 0 650 $333
Capacity (000’s) 511
Scheduled Production 650
Over Capacity Charge (mill.) $425
Est. Plant Cost for Add’l 100k Mill. $ $801
Capacity Change (000’s) 0
Manufacturing
Est. Plant Cost Mill. $ n/a
Est. Plant Sale Price Mill. $ n/a
Book Value Mill. $ n/a
Loss on Sale of Plant Mill. $ n/a
4/9/22, 9:44 PMStratSimManagement @ Interpretive Simulations
Page 3 of 3https://app5.interpretive.com/ss7s22/index.php
Current Cash Balance $5,290M
Purchase 1 Year CD @ 3.5% $0M
Finance / Cash
Current Stock Price $46.67
Current Shares Outstanding 265M
Current Market Value $12,368M
Issue Stock (Negative value is repurchasing.) $0M
Dividends Paid $500M
Finance / Stock
Short-Term Debt
Loan Balance @ 8.0% $4,891M
Loan Repayment $4,891M
Long-Term Debt
Current Bond Rating BB
Issue Bonds @ 6.0% $4,891M
Bonds Outstanding
Year #1 @ 6.0% $238M
Total Debt $5,129M
Finance / Debt
Incident Choice
Plant Automation Invest in plant automation. (Cost: 10% of cost to build current capacity)
Special Decisions
3/31/22, 7:35 PM StratSimManagement @ Interpretive Simulations
https://app5.interpretive.com/ss7s22/index.php 1/3
Decisions / Decision Summary
Interior Styling Safety Quality Total
Maximum 10 11 9 11
Firm Maximum 6 7 5 7
Cost to Increase by 1 (mill.) $205 $298 $393 $386 $1,282
Est. cost savings of increase
(mill.)
$7 $1 $5 $1 $15
Increase Attribute: Yes No Yes Yes
Curr. Expenditure (mill.) $205 $0 $393 $386 $984
Technology
Dev.
Center Project Class Size HP Interior Styling Safety Quality
Base
Cost*
Current
Expense
(mill.)
Maximum: 6 7 5 7
1
Cafav
Cost Reduction
Launching Now
Family 49 165 4 2 2 2
$15,595
$15,304
$182
2
Camini
Cost Reduction
Launching Now
Minivan 82 200 2 1 2 1
$16,923
$16,596
$182
3 Beginning construction $624
Total Expense: $988
* Base cost only; use the Pro-Forma for a projection of the unit cost when you launch the upgrade.
Product Development / Projects
Concept Name / Class Size HP Interior Styling Safety Quality
*Est.
Base
Cost
Devel.
Cost
(mill.)
Devel.
Time
CA-0001 AEV 50 150 6 5 5 7 $25,861 $1,352 3 Years
* Estimated Base Cost is for 100,000 units.
Product Development / Concepts
Corporate Advertising Millions
North $42
South $70
East $25
West $25
Social Media $90
Direct Marketing $39
Total $291
Ad Themes
Marketing / Corporate
Interior Styling
Safety Quality
Performance
Showroom
StratSimManagement Past Start 1
Stock Price: $45.83Introduction Company Market Competition Tools Decisions
Firm C
3/31/22, 7:35 PM StratSimManagement @ Interpretive Simulations
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Segment Targets
Value Seekers (1) Families (2)
Singles (3) ✓ High Income (4)
✓ Enterprisers (5)
Vehicle Class MSRP
Dealer
Discount
Advertising
(millions)
Advertising
Theme
Promotion
(millions)
Sales
Forecast
(000’s)
Remove
From
Market
Cafav F $31,361 12.0% $60 Quality $40 139 No
Camini M $24,144 13.0% $40 Performance $30 214 No
Climax L $45,997 16.0% $80 Performance $20 129 No
Totals $180 $90 482
Marketing / Products
Total North South East West
Full Coverage 800 200 250 150 200
Established 350 80 95 85 90
Sched. Change 0 0 0 0 0
Coverage 43.8% 40.0% 38.0% 56.7% 45.0%
Dealer Inc./Dec. (0% limit: ±0) 22 8 6 6 2
Coverage with Current Decisions 46.5% 44.0% 40.4% 60.7% 46.0%
Training and Support (mill.) $90 $21 $24 $22 $23
Per Dealer $257,143
Note: The estimated cost of opening or closing a dealership is $2 million. Average overhead per dealer is estimated at $291 thousand.
Distribution
Prev.
Sales
(000’s)
Current
Inventory
(000’s)
Scheduled
Production
(000’s) Flex
Retooling
Costs
Mill. $
Cafav 139 12 119 Yes $22
Camini 214 18 217 Yes $99
Climax 129 11 124 Yes $21
Total 482 40 460 $142
Capacity (000’s) 500
Scheduled Production 460
Est. Plant Cost for Add’l 100k Mill. $ $760
Capacity Change (000’s) 10
Est. Plant Cost Mill. $ $77
Manufacturing
Est. Plant Sale Price Mill. $ n/a
Book Value Mill. $ n/a
Loss on Sale of Plant Mill. $ n/a
Finance / Cash
Showroom
StratSimManagement Past Start 1
Stock Price: $45.83Introduction Company Market Competition Tools Decisions
Firm C
3/31/22, 7:35 PM StratSimManagement @ Interpretive Simulations
https://app5.interpretive.com/ss7s22/index.php 3/3
Current Cash Balance $3,015M
Purchase 1 Year CD @ 3.0% $1M
Current Stock Price $45.83
Current Shares Outstanding 255M
Current Market Value $11,687M
Issue Stock (Negative value is repurchasing.) $184M
Dividends Paid $500M
Finance / Stock
Short-Term Debt
Loan Balance @ 8.0% $4,903M
Loan Repayment $4M
Long-Term Debt
Current Bond Rating BB
Issue Bonds @ 6.0% $238M
Total Debt $5,137M
Finance / Debt
There is no special decision this period.
Special Decisions
Showroom
StratSimManagement Past Start 1
Stock Price: $45.83Introduction Company Market Competition Tools Decisions
Firm C
4/3/22, 8:57 PM StratSimManagement @ Interpretive Simulations
https://app5.interpretive.com/ss7s22/index.php 1/3
Decisions / Decision Summary
Interior Styling Safety Quality Total
Maximum 10 11 10 11
Firm Maximum 7 7 6 8
Cost to Increase by 1 (mill.) $218 $303 $399 $340 $1,260
Est. cost savings of increase
(mill.)
$5 $1 $3 $1 $10
Increase Attribute: Yes Yes Yes Yes
Curr. Expenditure (mill.) $218 $303 $399 $340 $1,260
Technology
Dev.
Center Project Class Size HP Interior Styling Safety Quality
Base
Cost*
Current
Expense
(mill.)
Maximum: 7 7 6 8
1
CA001
New Vehicle
Launching Y#4
AEV 50 150 6 5 5 7 $25,961 $455
2
Cafav
Cost Reduction
Launching Now
Family 49 165 4 2 2 2
$15,357
$15,062
$184
3 no project
Construct a new center for $630 Million
Total Expense: $639
* Base cost only; use the Pro-Forma for a projection of the unit cost when you launch the upgrade.
Product Development / Projects
No concepts were created in this year
Product Development / Concepts
Corporate Advertising Millions
North $42
South $70
East $25
West $25
Social Media $90
Direct Marketing $39
Total $291
Ad Themes
Segment Targets
Marketing / Corporate
✓ Interior ✓ Styling
✓ Safety ✓ Quality
✓ Performance
Showroom
StratSimManagement Past Start Year 1
Stock Price: $34.37Introduction Company Market Competition Tools Decisions
Firm C
4/3/22, 8:57 PM StratSimManagement @ Interpretive Simulations
https://app5.interpretive.com/ss7s22/index.php 2/3
✓ Value Seekers (1) ✓ Families (2)
Singles (3) ✓ High Income (4)
✓ Enterprisers (5)
Vehicle Class MSRP
Dealer
Discount
Advertising
(millions)
Advertising
Theme
Promotion
(millions)
Sales
Forecast
(000’s)
Remove
From
Market
Cafav F $31,361 12.0% $60 Safety $40 142 No
Camini M $24,144 13.0% $40 Quality $30 226 No
Climax L $45,997 16.0% $80 Interior $20 121 No
Totals $180 $90 489
Marketing / Products
Total North South East West
Full Coverage 800 200 250 150 200
Established 350 80 95 85 90
Sched. Change 22 8 6 6 2
Coverage 46.5% 44.0% 40.4% 60.7% 46.0%
Dealer Inc./Dec. (0% limit: ±0) 29 8 8 6 7
Coverage with Current Decisions 50.1% 48.0% 43.6% 64.7% 49.5%
Training and Support (mill.) $90 $22 $24 $22 $21
Per Dealer $228,426
Note: The estimated cost of opening or closing a dealership is $2 million. Average overhead per dealer is estimated at $294 thousand.
Distribution
Prev.
Sales
(000’s)
Current
Inventory
(000’s)
Scheduled
Production
(000’s) Flex
Retooling
Costs
Mill. $
Cafav 142 0 131 Yes $48
Camini 226 9 217 Yes $0
Climax 121 14 124 Yes $0
Total 489 23 472 $48
Capacity (000’s) 510
Scheduled Production 472
Est. Plant Cost for Add’l 100k Mill. $ $766
Capacity Change (000’s) 0
Manufacturing
Est. Plant Cost Mill. $ n/a
Est. Plant Sale Price Mill. $ n/a
Book Value Mill. $ n/a
Loss on Sale of Plant Mill. $ n/a
Current Cash Balance $3,615M
Finance / Cash
Showroom
StratSimManagement Past Start Year 1
Stock Price: $34.37Introduction Company Market Competition Tools Decisions
Firm C
4/3/22, 8:57 PM StratSimManagement @ Interpretive Simulations
https://app5.interpretive.com/ss7s22/index.php 3/3
1 Year CD Maturing @ 3.0% $1M
Purchase 1 Year CD @ 2.0% $53M
Current Stock Price $34.37
Current Shares Outstanding 260M
Current Market Value $8,936M
Issue Stock (Negative value is repurchasing.) $150M
Dividends Paid $500M
Finance / Stock
Short-Term Debt
Loan Balance @ 8.5% $4,899M
Loan Repayment $8M
Long-Term Debt
Current Bond Rating B
Issue Bonds @ 6.5% $0M
Bonds Outstanding
Year #1 @ 6.0% $238M
Total Debt $5,129M
Finance / Debt
Incident Choice
Safety Compliance Initiate a PR campaign informing the public that all your vehicles already meet the standard. (Cost: $10
million)
Special Decisions
Showroom
StratSimManagement Past Start Year 1
Stock Price: $34.37Introduction Company Market Competition Tools Decisions
Firm C