Pay attention to the plant upgrade options as well. The Business Strategy Game BSG is a PC-based exercise designed to mirror the real-world features of the competitive athletic footwear industry. Your estimate of the industry average for the internet retail price does not change with your adjusted competitive that you set to +2% before. The Business Strategy Game or BSG is a simulation game used by, different colleges for their Business capstone. Hi Dennis. As already mentioned, it is important that you ship all your shoes for the North American warehouses and the Latin American warehouses from the North American plant. 39K views 1 year ago #businessstrategygame Here is my ultimate guide to help you ace the Business Strategy Game. Apply the following tips to reduce some of the costs. Thats a game changer!! If you have any questions, comments, concerns, or feedback, click on my name below and Ill respond to you as quickly as I can. ? We have good market share in NA and, last year, we needed to ship the rest of the shoes from AP (incurring in shipping and tariffs costs, hence, the thought of adding capacity in LA). You want to setEthics Training / Enforcement to All Employees and Workforce Diversity Program to Yes. Some business simulation games actually put you in the position of a business owner, but others have varying storylines or themes that let players hone these skills in . If you have any questions, feel free to come back and ask them. You can still ship pairs from LA to somewhere else if needed. The market share, which can be increased by: increased advertising, extensive market research, checking out the competition, and most importantly understanding the needs of your customers. Now, I am worried about the future rounds. This is because your competitors are adjusting and trying to find their strategy. If not, see what positive percentage yields the highest profit for you. "In terms of scope and comprehensiveness, it has no equal in the world of business . You will also receive a copy of Currency Made Simple. For all following decision rounds, you do not have to return to this page, as I advise you to always keep those two options and not change anything else on this page. How would you like to acquire every secret I have about the Business Strategy Game? But again, thanks! I would definitely increase your S/Q rating to 8* and lower your models to 50 (this should be the lowest you can go if I remember correctly). but out industry there is a direct competitor for me, he is also star 8 and 50 models, and he prices so low for wholesale, only 47! Theres everything explained in detail. 1. as I described in my post, Id go with the low models, maximum profit strategy as it is easy to follow and you determine the market. Hi Fin, Thanks for the detail post and the screen shots. However, after 3-4 years, your competitors will settle and changes will be more predictable. Yes, despite your competitors building capacity as well, I recommend increasing capacity in a reasonable amount. So your costs will be relatively low as well and the private label will be a very important factor of yours. And then I would just follow my tips and adjust all other values to maximize profits. This would leave you with a bunch of shoes unsold. Although the big news for 2020 has obviously turned out to be the effects of the COVID19 coronavirus pandemic outbreak, many business students still have to struggle with the difficulty of playing the Business Strategy Game to get a good grade to graduate. To be a Business Strategy Game Grand Champion, you have to firmly understand every nitty-gritty little detail within the Business Strategy Game Manual. Focus on Net Profit, ROE (very important), Credit Rating, Image Rating is quite easy to control and also Stock Prices. For further explanation, please read my blog post. im at year 17 and perfect score twice, 1st in last 3 years and 2nd twice. Well some Industry Champions have such an easy time winning because the people theyre going up against simply didnt care about the BSG. How can I increase my game score? Otherwise, their endorsement effect declines. We got our act together and began to study the game. Try and set it to Yes. So do you mean although we sell exactly same shoes it does not matter even my rivals price is lower than mine so long as i can maximize my profit? Especially with our high quality and low models strategy, this will be very beneficial and will safe you some money. Hi! Hey!! . However, do not rely on those values. It is a show to the investors whether their investment is performing well. I am in Y12, and I am adjusting for Y13. For your company to be on the right track the R.O.E should be at least 15% annually. Then, just like you did before, plug in different values for your internet price and see, which price yields the highest net profit. Do not sit on it. It is definitely around 1.2 though and I recommend starting off with this value. Also, I suggest not decreasing your dividends. Business simulation games allow you to experience certain aspects of running a business in a completely virtual, consequence-free environment. Dont be fooled by Cheap imitation Business Strategy Game guides you might see online. It is best to build only as much capacity as you can afford without taking any loans. They have all changed by +2%, just as you plugged it in. If you have any questions, suggestions, or comments feel free to comment and I will do my best to help you out. I have experienced different behavior with bidding on celebrities. With the high-quality shoes + low model strategy, the only thing you care about is your PROFIT. In this multiplayer business simulation game, Virtonomics players must strategically build their virtual companies to become successful Virtonomics entrepreneurs. To be an Industry Champion, you just have to beat your classmates but to be a Business Strategy Game Grand Champion you have to BEAT every single Industry Champion that's won the Business Strategy Game. If you reach the last decision round, comment down below and I will give you some hints on how to boost your net profits for the last year and gain some extra points. You will soon know why. Set your price to whatever maximizes your profits. Be in it for the long haul Is it too late to reduce that to 50 as you suggested in your recommendation? Id also like to point out that it appears the developers threw out NAFTA in the new version, so tariffs hurt pretty bad in Latin America. Business strategy game. Im playing the new version of the game, and your guide has worked perfectly for the first two years! My guide follows the rule highest net profit is key to success. No worries, this is logical and you did nothing wrong. Do you have any suggestions? I shut them down fast and knocked them out of the running. With this, they raised the global capacity to 30,000 when the potential global demand (including private label) is only 24,218. If numbers do not add up correctly and your total pairs shipped do not match your total pairs available, go back to the Branded Distribution page and adjust your numbers accordingly. On this page, you will optimize your entries and toggle each value until your reach the maximum profit possible for each entry. After you have calculated your new regional wholesale sales volume, add the regional internet sales volume to it. Anyhow, recalling that I could find no helpful information about the game when I looked, I decided to put together a manual that would be helpful to future students of the game. Choosing the correct financial approach, among other things, made a huge difference. That its always wise to start out on the right foot rather than try to pull yourself out of a financial nosedive. As already mentioned earlier, not every decision has to make sense. Using a game strategy to push a business forward is a different approach, but it has been proven successful for many. Download Magic Year 11 Secrets Revealed NOW. The accumulated knowledge I have over the Business Strategy Game is on an unrivaled scale. Hi. I would then adjust the Percentage of Superior Materials to whatever is needed to match my S/Q Rating with the value plugged in on the Sales Forecast page. However, keep in mind that your regional endorsement value should not be higher than 400 in any region. Your Delivery Time should be set to 3 weeks. Sure, you can ask anytime It took me years to learn this and it would take you years as well but,I know you dont have years. Fin. Again, maximizing net profit is all you care about with our strategy determined at the beginning. For long term celebrity contracts and endorsement, bid for them in the early stages of the simulation. How Much Capacity Should My Company Have? However, with a reasonable price. Thank you very much for your kind words! So, multiply your sales volume for the wholesale segment for each region by 1.2. Any questions you have or any problems you encounter,you can get my expert advice asa BSG Grand Champion. So where to look at this thing, as soon as you start the BSG Online Game. It didnt matter how competitive they were, how motivated they were, or whether they were Industry Champions. Optimizing your values is the essence of the game, even though it might be very time-consuming. Concerning changing others values, I recommend reading my initial post where I have explained everything in detail. You can get BSG Game Help from experts who will guide you on how to win or top you game with the best Strategies.Visit BSG Game Help today and get professional guidance from BSG Experts. Always Have A Backup Plan. But this year the shipping is too high from AP to LA so I cannot make any money from LA. It might be tedious work and consumes a lot of time, but it will definitely worth it and will let you win the BSG. Personally, I would do a higher SQ to start things out while you are building capacity to match the low quality-high model approach. I know every strategy, secret, and tip you can possibly imagine about the Business Strategy Game, and Im willing to share them with you. Those that are already playing the BSG Online and perhaps want an edge over the competition. Displaying corporate citizenship in a responsible and socially acceptable manner for not less than 4 years. Free shipping will most likely not increase your profits. You might think that using green footwear materials or using recycled boxing / packaging is a good decision, especially with the currently ongoing environmental debates. On this page, you will set your values for your branded production. Once you have enough capacity then switch to low SQ approach. Buy Now with PayPal. With the high-quality shoes + low model strategy, the only thing you care about is your PROFIT. It almost worked TOO WELL. After clicking on the green Go to Decisions/Reports-button in the corporate lobby, you can see your profits in the lower left-hand corner. In this video we go over these five Business Strategy Game Tips: Price elasticity and why most athletic footwear companies don't understand how it is really computed. Obviously, the other teams and their decisions will play the biggest role in how you play the game, but this is a good starting point for how the game works and . All the while you get lost on what was really importantto do actuallywin. Every game in the Business Strategy Game starts out the same. Thanks a lot! Two decision rounds later, I was ranking 3rd in the world. I am a Business Strategy Game Grand Champion. Understanding all these reports will help you stay ahead of your competition as well as come up with the strategies that will enable you to perform better in the simulation. Learn tips & tricks, from a BSG Grand Master! Try out different combinations that keep you at 8* and the highest possible net profit. Okay! This means, you have a channel conflict, meaning that your Retail Outlets number will decrease in the next year and less retailers are willing to sell your shoes. I was wondering how much more additional capacity that I should purchase after Ive bought the first 1000 for NA. Sometimes thats cutting expenses, sometimes thats increasing expenses (even though it might not make sense at first). Does it affect any other factors? Dont believe us, just try below. (meaning I decreases it from $1.00 to $0.15). You can only do one upgrade at a time in each region and a total of two updates per region. Please delete one if there is an extra comment. update them with tips and food for thought from the paid guide. . Like should I add up all my wholesale prices from the 4 regions and then divide by 4 to get an average wholesale price and multiply by 1.40 to get the internet price or should I base it off the lowest wholesale and then multiply by 1.40 to get the internet price? Hi, Im glad to hear that it helped! Because with more capacity, you can offer more pairs in private label and dominate the market there. When you are deciding whether to upgrade your plant capacity, time is an essential factor. I now have another question about capacity. For this blog post, I will concentrate on the high-quality + low model strategy. . Promise I wont have tons of question haha. If you add capacity it will show you the price. I usually go ahead and plug in whole dollar amounts for the wholesale price and see how net profit changes. It is not. Entering year 15 I am still doing 8 star but the demand forecast is super low. Five years ago, I was sitting in a similar situation as you. When coming up with a CSR initiative, ensure that the budget can be sustained over time without burdening the company. honestly i started with 150 models at 6 stars and went to 200 and 7 stars, 8 in private label. The only thing you wont get is Magic Year 11 Secrets Revealed.Dont Wait! I include tons of free information to give you a leg up on your classmates on my blogroll. if you have left over inventory, you should either work on your numbers as I described in my post or put the left-over shoes into private-label. Should I decrease the pay dividends and do stock repurchase in Y13? As I keep reading online about different strategies to win, there are some postings that are aligned with the strategy of low quantity of models offered at a high quality and keep increasing capacity. Then, after a lot thought on the matter, I devised an easy method for taking full advantage of currency fluctuations. Go ahead and try out which combination yields the highest profits. Thank you so much for your reply! Hence, find the combination that gives you the highest profit. I will talk about the Celebrity Endorsements page later. This is extremely easy and if thats all you want, then grab The Ultimate BSG Solution right now and guarantee your success. A quick e-mail to your inbox. The guide features my original model that provides explanation on strategic positioning in BSG which was developed specifically to expose competitors strengths weaknesses at a glance. Can you tell us more about the strategy you had ? I cannot make any money there. Avg. values have changed. If you are completely new and your projected performance box is not showing yet, you have to click the Save Decisions button on the upper right-hand corner for the projected performance box to appear. I would like to ask you about the Dividends. Weve solved EVERYTHING for you. You should slightly increase your dividends year by year. Worst case, all the demand is already satisfied in your region before your shoes at a certain price is being considered. Furthermore, I spent all my cash on hand for dividends and stock repurchase to increase my ROE and EPS as much as possible. Hi Yvonne. Explanation of the Four Main Strategies of Business Strategy Game with their strengths and weaknesses based upon the Strategic Map, Detailed execution processes for each of the decision screens to produce enlightened results which answer questions, Discover how to become efficient in branded production, the best way to market your shoes, and which upgrades are absolutely ESSENTIAL for your given strategy, Three Year Plan rules simplified to attain the highest score your company can achieve, Business Strategy Invitational Insights for those who want to become Business Strategy Game Grand Champions, Academically proven for positively influencing new Business Strategy Game students to overcome the challenges of starting their company off on the right foot. Develop a fictional startup in a choice of industries, playing in modes including entrepreneur, business war or Virtonomics tycoon. Those that havent played the BSG Online yet and are researching online for every advantage they can find. How important is image? But my profit is still a little bit low for a second place, guess my price is too low and I need to cut some of my expenses, right? It covers in detail all of the strategies, concepts, software features and tricks necessary to win the McGraw-Hill Business Strategy Game. I mainly looked at what they were doing in the private label sector. We are reaching the last decision round and would like some hints on how to boost net profits for the last year and gain some extra points. SAVE TIME & PASS YOUR CLASS Amplify Your BSG Online Score: https://www.bsg-game.com/select-time Derek's "Pass Your Class Guarantee" . I was thinking about building a LA plant because I took the majority of private label there last year. It will give you some immediate tips you can implement to start off on the right foot or begin turning things around. I followed your recommendations, and I have a good rank. Embedded in the magic numbers is a reinforced long-term money-saving strategy that will save you money every year forever! Do this for all four regions. You basically do the same thing over and over again, for every decision round. Like I already said in my previous post, the most important thing is to toggle each and every value and pay close attention to your net profits. However, some values, such as the Wholesale Price have decreased instead of increased. The Models Offered estimate seems pretty fair and you do not have to worry about it. In the upper right box, you can spend your excessive cash. To do so, first plug in your N.A. More capacity also brings down your costs. What will I get for my $48? My group and I are about to complete year 17 for the game. Always keep that in mind when formulating your strategies and leave room for adjustment where necessary. Business Strategy Game Tips - . Even though this game is said to be a business simulation, get rid of the thought that all decisions have to make sense and be logical. When doing so, you have to plug in numbers for the assumptions section in the new window. You basically determine and run the market. Tips for Lowering Cost and Other Recommendations For Winning the Business Simulation Game Toggle the advertising spending to see the lowest cost at which the company can achieve the desired market share. But strategy wise I always sticked to my maximum net profit strategy which you can do no matter your competitors strategy. While +2% might now always be spot on, I have made the best experience with it so far. Yes, I would only add capacity onto existing plants and not build new plants. For many students, winning the Business Strategy Gamecan be the difference between PASS and FAIL. What should I do in this case? Heres What You Get in The Ultimate BSG Solution Monster Package: The Ultimate BSG Solution Guide was written by an old established BSG Grand Champion. Hello, thanks for the great strategy, it is working (1st place) ! First, set your Number of Models to 50, as determined earlier at the Sales Forecast page. So I have plant in NA, EA and AP, but right now I am only using 70% of the capacity because the demand is quite small for me. You might agree to disagree in the process but each member should always be given a clear avenue to express their thoughts that are based on their research. How did your 2nd decision go? I dont understand why it did this as this capacity was unused and there was upside to having it as my production was max out for the demand. As a Business Strategy Game Grand Champion, I have been responsible for burying many Industry Champion competitors and I have to say, its not hard. I am on my second year and I have negative income right now, any tips on how to get in the positive? . You are playing the BSG but do not want to read the 35-page Players Manual? However, if done right, it is worth the time as it will yield the maximum profit possible and success in your industry. Helped me get to the second place! and A-P plant, focus on your Total Branded Production Needed to Achieve Year XX Sales Forecast section on the lower half of the page. My group and I are also playing the new version of the game and were little bit lost. This has been very useful. Your numbers might be a little bit off due to the reject rates. I never really watched my EPS or credit rating (ofc credit rating should be a B at least). You can either take out a 1-year, 5-year, or 10-year bank loan. So regardless of what decision year youre in, how bankrupt you are, or if your company is dead last right now you can SUCCEED in the Business Strategy Game by following my SIMPLE tips, advice, and strategies. You then want to select 0% as the Portion of the $XX mil. Selecting the members that will form your team is very crucial as you will be working together to ensure the success of your company. I hope that helps and good luck! Im an excel and math geek and started to break the game down and understand it on a deep level. Ive played the Business Strategy Game many times through and have completely dominated my opponents every single round of every single game. The same accounts for your Change in Annual Base Wages and Incentive Pay values. construction cost to be financed with debt. I did not stock issues or issue purchase in the those years. Most Industry competitorsarentable to replicate high results when they face tougher opponentsand have asimpleunderstanding of the Business Strategy Game. This isthe lazy wayof winning the Business Strategy Game and requires very little knowledge and effort on your part. That being said, when you go with the strategy explained in my post, you will have maximized profits. It is all about trying out all possible combinations. Some professors place higher emphasis on the Business Strategy Game than others but the Business Strategy Game is always a hefty part of your grade. You now need the forecasted Regional Sales Volume for both the Internet Segments and Wholesale Segments in all four regions that you wrote down earlier. You cannot afford to followsimple techniques and fail! Is there anyway to increase the demand for my shoes in the internet/wholesale markets? One option that you definitely want to purchase is Option C. Option C increases your S/Q rating by 1 star. Pay loans faster. However, it will also decrease your ending cash. At the lower half of the page, you also determine how many branded pairs you want to manufacture in each region you have a plant. Learn tips & tricks, from a BSG Grand Master! Copyright 2018 BGSTips.com | All rights reserved. If you happen to end up with a large surplus of shoes the next year, lower your 1.2 multiplier a little bit to 1.18. Hi! When I played the game, I barely looked at what my competitors were doing. I recommend having a pen and piece of paper next to you so you can write down your net profit and compare when plugging in different values. Login Scroll Down Your browser does not support the video tag. Order now. For the upgrade option C is the one to raise 1 star, but the actual cost it can save me every year is not a lot, should I still do that? The Capitalism series is widely regarded as the best business strategy game series ever created. You will also receive a copy of Currency Made Simple. But the plant page did say not recommend to build the plant so I was hesitating. I will explain soon, how to increase plant capacity and why we need the capacity for private label. Do not worry about your market share percentage or any other value than your net profit. If this is still not enough, add the missing shoes to the other plants Branded Pairs to be Manufactured in Year XX number. Other teams in your industry wont stand a chance when you unleash the tactics we teach. The best part is that, after it is in place for 3 or more rounds of play, the effects become almost irreversible. We were actually thinking on building capacity in LA for next year, however, two of the other teams already built capacity for 6,000 pairs in total (we are only 4 teams in total). I worried that another team would have stumbled onto your blog, but few people Google tips it seems! This Reddit is dedicated to help undergraduate and graduate students excel at the McGraw-Hill Business Strategy Game or BSG-Online. You almost can never have enough capacity because what you dont sell in branded, you can sell in private label and dumb prices there and take away your competitors market share. Taking up stock offering is a cheaper alternative to loans in case of an expansion, but caution should be practised as this move might lead to a drop in the cost of the EPS. To be an Industry Champion, you just have to beat your classmates but to be a Business Strategy Game Grand Champion you have to BEAT every single Industry Champion thats won the Business Strategy Game. Finished top 3 the first time and we are currently in 2nd place through 5 weeks for our current simulation. Right now I am doing the second year decision, Im doing star 8 and 100 models, did 7 stars and 100 models in first round and the result was not very good.
