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PRESENTATION VISUAL-STRAT BUSINESS GAME. Entering the Global Market A unique product manufactured in Europe... The Motorcycle!!

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Presentation on theme: "PRESENTATION VISUAL-STRAT BUSINESS GAME. Entering the Global Market A unique product manufactured in Europe... The Motorcycle!!"— Presentation transcript:

1 PRESENTATION VISUAL-STRAT BUSINESS GAME

2 Entering the Global Market A unique product manufactured in Europe... The Motorcycle!!

3 Three Markets 1) the European market, where your company is already a leader 2) the North American market, where a dealer network has just been set up 3) the Global market, which will be accessible after three periods of prospecting

4 Gaining Market Shares by being the most aggressive in terms of prices and advertising by prospecting new markets in the Rest of the World by developing ones brand image due to sponsoring

5 Finding New Customers Prices (short-term): action at N Advertising budget (mid-term): action at N, N+1,N+2 Prospecting (mid-term): action at N+4 Sponsoring (long-term): action at N+4... N+10

6 By entering in the global zone after a minimum of three years of exploring new market or prospecting you have to allocate at least 6% of the turnover in prospecting In period 4, the prospecting budget must be more than the competitors average. The prospecting effort must be continued even after achieving the opening of this market.

7 Finding New Customers By making bids if your company is already known This is an order to satisfy the next period if your offer has been selected. It is valid only for one period. Conditions to partaking: You have to allocate a budget of at least 5% of the turnover in sponsoring. The Police

8 Finding New Customers (Joint Venture) By signing agreement with local partners = COMMERCIAL INVESTMENT using the local know-how creating local jobs decreasing the customs fees Only the two most efficient and fastest companies will be able to do it.

9 Product Life Cycle Launch and growth Phase 1 Phase 2Phase 3 MaturityDeclining Sales Time

10 Invest in new plants to satisfy the demand. Adapting Your Offer to the Demand Do not produce useless stocks and close plants if necessary.

11 additional information on: market trend, strategies of competitors, cost prices of the products etc. first year for free !!! Buy information about market trend! Adapting Your Offer to the Demand

12 From period 4, do not hesitate to do subcontracting Adapting Your Offer to the Demand You have stocks: On the contrary, your production and stocks are not sufficient: Be a SELLER Be a BUYER Subcontracting requires an agreement between two partners about volumes and pricing.

13 Control Your Costs by producing at full capacity by improving the design with research and development by maintaining the production tool

14 Adapting Your Production Capacity by proposing flexible working contracts (overtime hours, limited period contracts) by developing investment or closing existing production lines by subcontracting to other companies (from period 4)

15 Managing Financial Resources Loan Draft Capital Increase Placement

16 Preparing your decisions Update the data of the scenario Download the Excel file. These values must be checked on the main page of

17 Define the right price! Gain Market Share: Invest in Advertising Invest in Prospecting (6% of turnover) Invest in Sponsoring (5% of turnover) Do commercial investment Invest in new plants (from 1 to 5) Control your Production and Stock : make deals with your competitors (sale & buy) Buy Market Study and Strategic Information on Competitors Distribute dividends to make your shareholders happy! Key Decisions

18 And now... Let the competition begin!


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