Author Topic: Last year. 24 hours to submit final decisions.  (Read 9551 times)

24hours

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Last year. 24 hours to submit final decisions.
« on: February 11, 2016, 06:52:36 AM »
Position:
1       H          106
2       E    100--Me
3       D       90
4       C        79

11 companies in total

EPS:              10.03
ROE:              25.1%
Stock Price:    220.70, Shares remaining 8528 and allowed to purchase  617 in final year.
Credit Rating :     A
Image Rating :   75
No Celebs

Standard Production ex O/T: With Cx3, Bx2 and Dx1 upgrades
NA= 3000
AP= 6000
LA= 2300


Just looking for advice late game strategies, we boosted out the gates in Year 1 but we organised a share sale to coincide with the recession that occurred, we dropped to 5th but now we've been chasing Company H for the past 5 years only gaining small ground at a time although we have been out performing each year despite being a much smaller firm in terms of having lower costs and higher profit margins by at least 3% compared to H and up to 8% compared to other teams. Wondering if anyone had any recommendations that could help edge us at the end.

We've pulled off some nice years by utilizing private label when currency exchange rates were bad and hiking prices up to counteract the exchange rate negatives at times earning $20 extra per shoe in individual markets.
« Last Edit: February 11, 2016, 07:13:43 AM by 24hours »

kidkong

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Re: Last year. 24 hours to submit final decisions.
« Reply #1 on: February 11, 2016, 09:22:03 AM »
Hey!

Same thing happened to us, except we were the winning team.
Theres a few things you can do to get back over the line.

Whats your strategy? Hows your credit rating?

PM me if you want to chat about it - have some tips.

2yearsrunning

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Re: Last year. 24 hours to submit final decisions.
« Reply #2 on: February 11, 2016, 01:37:40 PM »
Hi 24,

We won it 2 years ago convincingly enough, but last year we were in the same position as it seems you were but we managed to catch up and win by a comfortable enough margin
If you haven't done as of yet under CSR add everything!!

If you need help message me.
Best of luck

24hours

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Re: Last year. 24 hours to submit final decisions.
« Reply #3 on: February 11, 2016, 01:49:39 PM »
In fairness, no strategy, its been fairly reactive at this point accommodating the needs of the industry:

Originally we did too well and we thought we needed to scale back. We tried to be average in every way but we found that retailers didn't want our shoes anymore so we responded and hyped up S/Q ratings to 7 from 4, hiked, advertising and for 3 years we had cheap mediocre celebs in tow too.

We scheduled a sale of 2000 shares at 77 a piece in year 2 and spend the next 3 years buying them back but by the time we did we effective bought back an extra couple of hundred (600K) shares or so at $2 a piece when if you ignore the money we pumped into investing in capacity and upgrades.

Unfortunately we didn't use our A+ ratings and we lost out to H company who took regular (3X250K) big loans, we thought they'd cramp over from interest but they were simply too big so we were trailing and only been able to get ahead by taking advantage of poor exchange rates in various areas by compensating with higher prices.

We've done average in Branded pulling our fair share of around 10% market share and in most cases have the lowest costs and highest operating profits in profitable markets per year.

Credit Rating is currently A at the moment and its the lowest its been.

There's also roughly 30% excess supply with the market so its difficult to really stand out without celebs.

I understand where to boost some basic stats but need to be earning higher profits to boost any chance of at least coming with 155 + points for GTD score.

Any help could be posted here...

Hey yeah, CSR we've ignored for all the way through, though it could boost a few areas but it seems to hurt our EPS and ROE


kidkong

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Re: Last year. 24 hours to submit final decisions.
« Reply #4 on: February 11, 2016, 02:05:02 PM »
Sounds to me you could take a hit on credit rating. I know it sounds crazy, but we had a B- credit rating, and it cost us several point, but we rounded everyone in the end. Our revenues were above and beyond the rest.

What sort price competition is there? Whats your * at the moment?

Are you operating in the PL markets? If so, is it all of them? Are the teams in 1st and 3rd competing against you? If not, don't go so low, the rest can't catch up.

What are the price ranges at the moment? For branded and PL?

24hours

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Re: Last year. 24 hours to submit final decisions.
« Reply #5 on: February 11, 2016, 03:10:46 PM »
Quote
"Sounds to me you could take a hit on credit rating. I know it sounds crazy, but we had a B- credit rating, and it cost us several point, but we rounded everyone in the end. Our revenues were above and beyond the rest"
Yeah Credit rating is an issue if we go all out on both ROE and buying shares back. But its still above investor expectations.Our revenues are ussually 200k+ also we tend to have higher profits from 8%-3% per firm.

Quote
"What sort price competition is there? Whats your * at the moment?"
Its only fierce in PL,  we are on average 3-6 dollars more expensive in branded goods compared to the other 10 teams.
Quote
"Are 1st and 3rd competing against you? If not, don't go so low, the rest can't catch up."
Yes directly and all four of us are fairly aware of each other.

Quote
"What are the price ranges at the moment?"
"For branded" Average is from $52.66-$45.55 with Average S/Q of 6.5 for all 4 markets while "PL?" goes from 24.50 to 45(Me), one firm has been deliberately dumping 800-4000 pairs at the lowest prices in the markets where exchange rates are highest. While group H has 450K in long term debt, they've recently dropped to a SQ of 5( Largest capacity)

Overall I'm in a good position and confident about it but want to get that 1st.
« Last Edit: February 11, 2016, 03:21:54 PM by 24hours »

2yearsrunning

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Re: Last year. 24 hours to submit final decisions.
« Reply #6 on: February 11, 2016, 03:44:34 PM »
Obviously you don't want to damage your EPS too much but don't be so reactive to when you see it going down. If this is going into your last year remember that if you have not touched CSR it will be reflective when the game finishes and will show up when the game ends. So it is very worth considering

All the best

24hours

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Re: Last year. 24 hours to submit final decisions.
« Reply #7 on: February 11, 2016, 04:06:44 PM »
Honestly having no CSR isn't an issue, unless i get points for it or I'm desperate for image improvement I'll leave it out,

2yearsrunning

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Re: Last year. 24 hours to submit final decisions.
« Reply #8 on: February 11, 2016, 04:34:31 PM »
How are you tackling private label
Others will undercut just to make sales be careful with your pricing not to undercut yourself by too much

24hours

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Re: Last year. 24 hours to submit final decisions.
« Reply #9 on: February 11, 2016, 04:49:52 PM »
How are you tackling private label
Others will undercut just to make sales be careful with your pricing not to undercut yourself by too much
Yeah its happened already in previous year, they dumped 3500k into one market and cut us completely out, they would've only made $1-$2 though,

24hours

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Re: Last year. 24 hours to submit final decisions.
« Reply #10 on: February 11, 2016, 04:52:34 PM »
On another point dos anyone think its worth investing in higher S/Q rating in PL ( Standard is now 5)

WinBusinessStrategyGameTips

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Re: Last year. 24 hours to submit final decisions.
« Reply #11 on: February 11, 2016, 07:30:16 PM »
I was going to answer this in greater detail, but it looks like most of your questions have been answered.
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