Period 6

Results:

The A-team slipped this period to 3rd place with a stock price of $1393, and the leaders were at $1926. Team E and U had released Vodites this period which put us behind and meant we had to finish our R&D on VAXY if we wanted to stay only one period behind. SALT was still our breadwinner with no inventory and a contribution of $33 million. SAMA was tanking slowly and only had a contribution of $700,000 this round and an inventory of 26,000. SACK was improving, only losing $110,000 this round and inventory decreased to 33,000.

Decisions:

Advertising had to drop from $7.05 million the last two rounds to $4.5 million so we could afford our Vodite R&D. We reduced the price of all of our products by a couple of dollars each to keep competitive, especially with Vodites on the market. We dropped SAMA's sale force by 10, upped SALT by 11, and upped SACK by 4 people. This period in addition to buying the Sonite market research studies, we decided to buy the Vodite ones too to ensure a successful product launch. Our R&D this round pretty much took up our whole budget, as we spent $8.4 million to complete VAXY for the next round.

We hoped that VAXY would be our saving grace because we had to slash spending in so many areas, and our Sonite products were slipping up. Also, the leading stock market team was $600 ahead of us so we had a large amount of ground to make up!

2 comments:

  1. At least we aren't last, right? Motivation!!!

    Team E is not being very nice right now! They are taking all the market share!

    ReplyDelete

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