Business Strategy Game, or BSG, is an interactive managerial simulation designed to teach students how to run a virtual company effectively and make smart decisions. Students gain exposure to concepts they may have missed learning in Business School like competitive strategies and optimal cost strategy in order to increase profits while strengthening decision-making abilities and developing communication skills.
Management of a business can be an arduous challenge when competing against other teams. Success requires long-term planning and decision making as well as the focus of marketing initiatives to attract customers and spread brand awareness; failing to do this could limit growth of your virtual company and even lead to its collapse.
Achieve success in the BSG business strategy game requires planning with your team a trajectory for each year of simulation and sticking to it throughout. Doing this will allow you to meet your goals and optimize profits. For this step, set clear objectives regarding revenue, image rating and sales forecast – then work as a unit on implementing those targets over the following twelve months.
Once you have a clear trajectory, it is essential that you optimize and modify your decisions to improve their outcomes. For instance, take note of how competitors’ profits have changed over time as well as whether their prices have gone up or down accordingly and ensure your pricing reflects it.
As part of your sales forecast review process, it’s advisable to track progress and assess whether your strategy is working. If sales don’t meet projections, consider refinancing debts to boost profits and achieve your sales forecast goals more easily.
Focus on improving your image rating to boost sales and profits, by raising S/Q ratio and employing cost management strategies that increase profitability while keeping prices competitive and expanding market share.
Finally, early plant upgrades can have an exponentially positive effect and help lower costs per pair of shoes produced. You should ensure your plant operates at full capacity to maximize economies of scale benefits.
Keep your sales forecast in mind when setting bid prices for celebrities and private labels, such as private label. Avoid bidding high or low as this will compete directly with other companies; also avoid increasing bid prices for PR products since this will reduce profit for your branded production company. Finally, it is wise to always pay attention to how each round plays out – this will allow you to identify good and poor decisions as well as provide guidance for future rounds. Doing this will maximize profits and increase profitability for your branded production company.