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Scenario 15C1 guide

Before reading this guide for scenario 15C1, please read general guide with tips for new version of GMC simulator, which describes basic rules and principles for preparing a strategy. Also, read game review of scenario 15C1 in World Cup 2015. This guide shows key features of scenario 15C1, which are important to consider for achieving high result. If any of decision parameters are not specified, then in this case follow tips from general guide.

 

Scenario description - 15C1 scenario, where companies are given the opportunity for rapid growth. Company has a large amount of free cash in stock at the start of 1 150 000 and low competition in the market for customers. Company's can increase revenue by 3 times and earn more than 1 000 000 net profit over the period, so it is important to quickly increase the volume of production and respond promptly to an increase in demand. Total share of EU and Internet markets occupied by teams in 1 period is about 40-50%, which allows you to effectively promote product sales using marketing tools. In the 5th period, total share of EU and Internet markets occupied by teams grows to 65-75%, i.e. growth in sales by 1.5 times with other things being equal. Nafta market with a total occupied share of 10-20% by 1 period is often underestimated due to the small share of the company's total sales at the start of the game, but it is most attractive from the point of view of its further explosive growth and complete absence of competition. Company's total sales are distributed among markets as EU - 50%, Nafta - 14%, Internet - 36% and at the end of the game change to EU - 43%, Nafta - 24%, Internet - 33%. Thus, efforts to capture market shares can be evenly focused on all markets, not forgetting the Nafta market, which will bring ¼ of total revenue at the end of the game. It should be remembered that this guide is intended for group with medium and high competition, where active struggle for market share. In group with an incomplete number of playing teams or weak competition, large investments in production and increasing demand are permissible.

 

Advertising - in the phase of active growth (1 and 2 period), you can try to force the advertising budget to 8% of administrative expenses or higher, with a gradual reduction to 5% over the last period.

 

Prices - in the 1 period you could not increase output of products due to lack of production capacity, therefore, demand for products should be artificially limited and prices in 1 period should be kept at the same level. Starting from period 2, prices can be gradually reduced to the level of 300 - 470 - 760 by the end of the game, depending on the possibilities of production.

 

Product quality - in 1 period, do not forget to implement a MAJOR development for 1 product, which is hidden in the history of the company and has not been implemented before. There are no hidden developments for other products. The quality of the company's products is 2 stars for 1 and 3 products, 3 stars for 2 products. Scenario 15C1 allows you to get MAJOR development with relatively small investments in R&D. Choose a R&D plan where will be at least 7 MAJOR developments. You can apply the HQRM to increase demand, because the cost of raw materials is relatively low. HQRM will be especially effective for 1 product.

 

Subcontracting - purchase enough components in 1 period, so that your machines can work in 1 shift level starting from 2 period. For example, 2 and 3 product can be purchased until the end of the game, and by partially purchasing components for 1 product, balance load of machines.

 

Agents and distributors - 7 agents for EU and 5 agents for Nafta is enough to maintain sales. Popular version of commission is 12% - 12% - 6%. For EU and Nafta markets for 1 and 2 period, commission can be increased to 15% until the market is maximally loaded and elasticity of demand factors becomes minimal.

 

Operations - according to the history of the company, the machines work in 2 shifts. Average wage rate is 12.00, which does not increase staff costs too much. However, it would be good idea to work in 1 shift and save on the wage fund to reduce costs. In 1 period, you can keep to produce in 2 shifts or even switch to 3 shifts to increase output of products, because assembly workers would not be loaded for 100% with 2 shifts level. In any case, in 1 period we buy stock of components and starting from 2 period we switch to production in 1 shift. Do not forget about machine maintenance. Machines efficiency is 95%, so it is sufficient to simply maintain the already existing level of efficiency by investing 10-12 per 1 work shift (20-24 for 2 work shifts, etc.).

 

Personnel - be prepared for situation where you can not hire a large number of assembly workers to increase production. Labor market is significantly smaller than in previous scenarios. Therefore, it will be useful to train 2-3 assembly workers in 1 period, in addition to the hiring decision. This guarantees an increase in the company's production capabilities. In subsequent periods, competition in labor market for hiring assembly workers will decrease, but will remain highly dependent on the actions of competitors.

 

Finance - basic scenario of issuing shares is to issue 10% in 1 and 5 periods. If you wish, you can experiment and issue shares in 3 and 5 period. More than 58 277 accumulated in the company's reserves, therefore dividend payments should be made every period starting from 1 period. Dividends should go with increasing, but make sure that in 5 period you have enough cash (at least 20% of liquidity). Buy or sell machines is not required.