December 2008, Quarter 0/12

IndustryMasters Electronics

Simulation Run Time
The simulation will run for 12 Business Quarters (3 years), at a screen-refresh rate of 5 minutes per simulated Quarter. The simulation round therefore lasts 60 minutes - plus some start up time, as you familiarise yourself with the screens.

Topics Covered
Entrepreneurial Startup, Marketing, Strategy, New Product Introduction, Operations management, Product Lifecycle, Competitive Advantages, Inventory Management, Capacity Planning, Mergers and Acquisitions.

Your Starting Position
The initial share capital is 75.00M$ and your available investment budget is 210M$. You are competing against 2 virtual competitors: HiTech Inc. and QualyCare Inc.

Electronics

Batteries

Initial Investment: 33.40M$
Capacity: 250,000 / Month
Product Life Cycle: 18 months

Sales Price: 10.40$
Revenue: 2.60M$ / Month
Staff: 92

Camcorders

Initial Investment: 58.45M$
Capacity: 10,000 / Month
Product Life Cycle: 18 months
Market Outlook: Stagnation

Sales Price: 455$
Revenue: 4.55M$ / Month
Staff: 161

Game Consoles

Initial Investment: 138M$
Capacity: 25,000 / Month
Product Life Cycle: 18 months

Sales Price: 429$
Revenue: 10.73M$ / Month
Staff: 380

GPS Navigators

Initial Investment: 50.10M$
Capacity: 10,000 / Month
Product Life Cycle: 18 months
Market Outlook: Stagnation

Sales Price: 390$
Revenue: 3.90M$ / Month
Staff: 138

LCD Televisions

Initial Investment: 134M$
Capacity: 10,000 / Month
Product Life Cycle: 18 months

Sales Price: 1,040$
Revenue: 10.40M$ / Month
Staff: 368

Notebooks

Initial Investment: 70.14M$
Capacity: 3,000 / Month
Product Life Cycle: 18 months

Sales Price: 1,820$
Revenue: 5.46M$ / Month
Staff: 193

Smart Phones

Initial Investment: 167M$
Capacity: 40,000 / Month
Product Life Cycle: 18 months

Sales Price: 325$
Revenue: 13.00M$ / Month
Staff: 460

Tablet Computers

Initial Investment: 83.50M$
Capacity: 5,000 / Month
Product Life Cycle: 18 months
Market Outlook: Growth

Sales Price: 1,300$
Revenue: 6.50M$ / Month
Staff: 230

Marketing Mix

Market Research	POS Promotions	Web Marketing	Print Campaign	TV Campaign
G&A Expenses +20.00% Cust.Satisfaction +20.00% Demand +8.00% Budget 0.00M$	Staff Expenses +10.00% Material Cost +4.00% Cust.Satisfaction +10.00% Demand +12.00% Budget 0.00M$	G&A Expenses +20.00% Cust.Satisfaction +10.00% Demand +5.00% Budget 0.00M$	Demand +10.00% Budget 0.00M$	Demand +15.00% Budget 0.00M$

Additional Investments
Integrated IT System	Vertical Integration	Process Automation	Global Sourcing	Energy-Efficiency

Investment: 5.00M$	Investment: 6.25M$	Investment: 7.50M$	Investment: 6.25M$	Investment: 5.00M$
Staff Expenses -9.0% Receivable Days -40.0%	Demand +10.0% Staff Expenses +5.0%	Staff Expenses -8.0% Material Cost -4.0%	Material Cost -6.0% Payable Days +30.0%	Demand +2.0% Material Cost -5.0%