BUS 599 Module 1 SLP Strategic Review

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Module 1 - SLP

Strategic Review

First, run the simulation using the Default Decisions. In other words, use the prices and R&D percentage that are already there. Capture or collect the results for each product (X5, X6, X7) as you run each year. Copy (using Excel, by hand, or some other method) the Financial results and Marketing results, as well as the information provided by the Advisor.

REQUIRED READING:

Refer to the reading on the SLP in the Module 1 Background. Then read the following scenario before you proceed:

SCENARIO

It is December 15, 2015. Joe Schmoe, the VP of Marketing at Clipboard Tablet Co., is smugly patting himself on the back for how well he has done with pricing and product development on the three products, X5, X6, and X7. He knows his strategy was not very creative, since he did not change any prices or R&D allocations over the four-year period (actually six years, counting 2010 and 2011). But he is certain that he did not need to change anything, and that his overall performance is proof.

However, Sally Smothers, CEO of Clipboard Tablet Co., has a different opinion, and she fires Joe.

You are hired. You applied for the position a few weeks ago and interviewed, unaware of the fate of Joe Schmoe at the time. So here you are, Dec. 15, 2015, VP of Marketing at Clipboard Tablet Co., and ready to move the company ahead into 2016. Your boss, Sally Smothers, is expecting you to take over and move the company forward in terms of product development, and smart pricing.

Session Long Project

Write a 4- to 6-page paper, not including cover and reference page, according to Sally’s directions as follows:

Sally wants to make sure that you are ready to move ahead and asks you to review the past four to six years to see what was going on in terms of product development, sales, pricing, and performance against the competition. You collect all of the data and write a report which is due on Sally's desk January 2, 2016.

Analyze the results of Joe Schmoe's decisions and then write the report that Sally is requesting. Run the simulation of the Clipboard Tablet Co. using the default decisions. Access the simulation site and collect the data for each year (or you can download a copy of it - see below). Make a Case for your proposed strategy using financial analysis and relevant theories.

KEYS TO THE ASSIGNMENT:

The key aspects to this assignment that should be covered in your paper include:

•A review of the products, their life cycles, and how they stack up in terms of price and performance.

•Financial review for each product: X5, X6, and X7 – sales, costs, profitability, prices, unit margins, etc.

•Market review: New Sales, Repeat Sales, Market Saturation, etc.

•Propose an alternate strategy: a general idea of how you might do better with these products: what pricing and R&D allocations, etc., you would have put in place over the last four years, 2012 – 2015.

•A review of the products, their life cycles, and how they stack up in terms of price and performance.

•Financial review for each product: X5, X6, and X7 – sales, costs, profitability, prices, unit margins, etc.

•Market review: New Sales, Repeat Sales, Market Saturation, etc.

•Propose an alternate strategy: a general idea of how you might do better with these products: what pricing and R&D allocations, etc., you would have put in place over the last four years, 2012 – 2015.

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