Module 04 - Session Long Project
For the third and final run of this simulation, enter your decisions taking into account the changes in strategy you proposed in Module Three. Then in a 2-3 page paper discuss
Your company's performance in this run.
How it compares to the last run.
Why you think you did better or worse.
Module 05 - Session Long Project
Now that you have run this simulation three times, I would like for you to evaluate the experience. First, I would like you to focus on the actual process you went through as you ran the simulation. Specifically, I'd like you to consider the following questions:
What did you learn from this exercise?
How did your strategies and decisions change?
What business theory(s), model(s), or analytical tools were most useful to you in determining your approach to the decisions you made?© BrainMass Inc. brainmass.com October 24, 2018, 11:36 pm ad1c9bdddf
The response addresses the queries posted in 739 & 956 words with references.
//In the response of this query, I would like to suggest you to analyze the simulation, which will provide most of the required information. I am providing you a sample study of simulation. It will help you to get an understanding of writing this question on the basis of the mentioned technique.//
The given simulation is related with Handheld Corporation. The company has launched three new sets which are X5, X6 and X7. The overall objective of the company is to maximize its profitability (PDA Sim, 2008). For the given purpose, the company wants to change the price strategy and R&D allocation of these three products. The overall estimation of the profitability of the company is based on the results of the third and final simulation.
In the first run of the simulation, the price strategy for these three products is as follows:
For product X5 the price is kept the same, for product X6, the price strategy is increased for the coming two years and the price for the same product is kept as it is in the next two years and the price strategy for the product X7 is diminished.
In contrast to the price strategy, the changes in the R&D allocation of all the three products are quite different (Nagle & Holden, 2002). For product X5, the percentage of R&D allocation is reduced two times during the run of the simulation. This reduction was in first year and in 2008. But for the same product, it has been increased in the last year, i.e. 2009.
By doing above changes in the price strategy and R&D allocation of these three products, the financial results of the first round of simulation shows that in the year 2006 the profits and revenue level of the company have ascended.
Results of year 2006
Profit of X5
Profit of X6
Profit of X7
The comparison of the data of the year 2007 from the previous data gives some new results. The financial results of the year 2007, shows that although the overall profitability of these three products is increased, yet the profits of the product X5 are declined.
Results of year 2007
Profit of X5
Profit of X6
Profit of X7
The results of the final simulation of the company for the year 2008 are different from previous results. According to the data of the year 2008, the overall profitability of the company is declined in this year, but the profitability of the product X7 is increased. On the other hand, the profits of the product X5 and ...
The response addresses the queries posted in 667 and 878 Words, Also excel file is attached. APA References
Strategy Planning Analysis Using PDA Simulation
Review your strategy from last module and enter your decisions into the simulation. Run it through all the way through, (ALL FOUR YEARS - NOT JUST ONE!) and do not deviate from your strategy:
Give your final score on the simulation. How does that compare to market potential?
Evaluate the effectiveness of your strategy.
Outline your proposed changes in strategy for the next run and justify them.
Remember that the key here is ANALYSIS. What assumptions did you make when you planned your strategy? Did these assumptions prove to be right, or was there something else you didn't think about that influenced your results? How will taking those factors into account affect your strategy in this upcoming run?
Again, you need to crunch some numbers to determine how successful you were, where the greatest sources of profit are, and what changes make sense. Make sure you proposed changes in strategy are firmly based in this analysis and sound business principles.View Full Posting Details