Business Strategy Game: Major Decisions and Models

BUSINESS STRATEGY
GAME
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INTRODUCTION
The business strategy games are also known as business simulation games. In this the
business runs according to the market changes and business economies. The business simulation
is dependent is on the numbers and not on the production, sales, imports and exports of the goods
and services. This game is also known as management simulation game and they are based on
the biddings and the investments. In this the employee have to investment their capital in the
market according to the position of shares of their organization in the market in respect to
changing market situations.
The C & J Clark is shoe manu7facturing and retailing company which was established in
the year 1825 in the street, England. The organization was founded by Cyrus Clark and James
Clark. The organization has around 1000 branded shoes and the franchises of the other brands
which is sold in different parts of the world.
MAIN BODY
1. Outline and evaluate the major strategic decisions made during the BSG simulation.
Ans. - The major strategic decisions taken by the organization during the BSG simulation were
as follows:
Financial
I think that the organization was having a goof financial structure. According to the data
given, the organization was making progress in the earning the profit and maintaining the market
stability. As the report shows the earning per share of the organization was increased from $2 to
$8.12 from the year 2010 to 2015. In these 5 years the organization had an increase of $6.12 in
the earning per share of the organization. This has caused the increase in the return on
investment by $19.6 and the stock prices of the stocks of the organization increased by $156.94.
All of these increases were made during the time period of year 2010 to 2015. In these 5 years
the organization has earned the net value of $987664 million in the market. This has been made
because of the best quality products and the expansion of the business in the form of retailing
stores across the world(Ansoff, and et.al).
Branded Production
In this the relation between the productivity and the labor cost which has effected the
production cost of the products produced in the market. The organization was having the
productivity of 5000 units with the labor cost of $8.98 per pair of shoes produced. By this the
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production cost bared by the organization was $23.98 in the year 2010. The organization has
increased its production to 5257 units in the year 2015 with the increase of $0.52 in the labor
cost. By doing this their cost of production increased by $9.51 which has caused a positive
impact on the organization. As the cost of production increased the demand for the products of
the organization also increased(Oriesek, and et.al., 2016). The reason behind this was that the
customers known it very well that the organization is using high quality raw material in the
production of the shoes and the technologies used by them were latest and effective in making
the shoes more comfortable in wear and durable for long time. So the customers easily got
agreed on the prices fixed by the organization for their shoes. The production cost was
fluctuating in the N.A., E-A, A-P, and the L.A. The lowest cost of production was in the L.A.
which was 25.64. The reason was that the organization started their operation in the year 2012
and by 2015 the cost of production decreased by 11.35 because of change in taste and
preferences of the customers.
Branded Operations
The branded operations of the organization were managed more by the selling the
products and services online by the help of internet. According to the report given, I founded that
the organization was earning more profit by the online sales of the products and services of the
organization. The sales done through the online purchase of the products and services was
earning 20.51% more profit as compared with the sales done in the retailing stores of the
organization. There was a difference in the market shares earned by both online selling and sales
done within the retailing stores. The market share in the year 2010 was same in both the
platforms, but from year 2011 to 2015, the market shares of the online marketing has started
increasing and at the end of year 2015, the shares reached to an increase of 6.9%. This made an
increase in the investments done by the employees of the organization and other institutes which
made an increase in production and marketing activities(Satimanon, T. and Weatherspoon, D.,
2019).
2. . Apply and evaluate at least six supporting strategic and/or management models, concepts and
ideas that underpin your strategic approach.
Ans. - The six supporting strategic and management models are as follows:
PESTEL ANALYSIS OF THE C&J CLARK
 Political
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