Questions and Answers
What decision areas are you responsible for in the first year of the MikesBikes simulation?
Pricing and Promotion
What term is used to describe the process in MikesBikes where the simulation moves forward to the next year?
Rollover
Is your MikesBikes company a Retail Company or a Manufacturing Company?
Manufacturing Company
What industry is your company in?
Signup and view all the answers
Which report tells us about new developments and things to focus on for the coming year?
Signup and view all the answers
According to Video 2: Making your first-year decisions, which Media Channel should we invest the biggest share of our Total Advertising Budget?
Signup and view all the answers
Consumers in the Mountain Bike segment have which of the following buying sensitivities?
Signup and view all the answers
What would be an acceptable price for a Mountain Bike and how many units could you expect to sell annually?
Signup and view all the answers
Which index would we review the effectiveness of our Advertising decisions from last year?
Signup and view all the answers
What new decisions are available from Year 2 of the MikesBikes simulation?
Signup and view all the answers
Which form of distribution channel is the most effective for the Mountain Bike segment and roughly what percentage of customers shop there?
Signup and view all the answers
In which of the following situations should you increase your Sales Forecast for the year ahead?
Signup and view all the answers
Which index would we review the effectiveness of our Retail Margin and Extra Support decisions from last year?
Signup and view all the answers
If you increase your Factory Capacity (total SCU), will you need to spend more or less on Efficiency and Quality?
Signup and view all the answers
The Mountain segment has a _____ sensitivity to Quality.
Signup and view all the answers
What is the total capacity of your factory before making any adjustments?
Signup and view all the answers
How much spare Factory Capacity would you need if you believe you can sell 30,000 Youth Bikes?
Signup and view all the answers
What are the new decisions available from Year 4 of the MikesBikes simulation?
Signup and view all the answers
Which two market segments are consumers most responsive to an improvement to Product Specifications?
Signup and view all the answers
According to Video 5: Making your fourth-year decisions, why would you repurchase shares?
Signup and view all the answers
Study Notes
Decision Areas in Simulation
- Responsible for Pricing and Promotion decisions during the first year in MikesBikes.
Simulation Year Transition
- The simulation progresses to the next year through a process called Rollover.
Company Type
- MikesBikes operates as a Manufacturing Company.
Industry Focus
- The company is situated within the Bicycle Industry.
Key Report Overview
- The Year Ahead Report highlights new developments and critical focuses for the upcoming year.
Advertising Budget Strategy
- Important to identify which Media Channel should receive the largest portion of the Total Advertising Budget.
Consumer Buying Sensitivity
- Understanding the buying sensitivities of consumers in the Mountain Bike segment is critical for marketing strategies.
Price Expectations and Sales Forecast
- Acceptable price for a Mountain Bike is set at $720, with an expected annual sales volume of 20,000 units.
Market Summary Report
- Key performance metrics for products in various markets are compared, allowing an evaluation of previous Advertising effectiveness.
New Decisions in Year 2
- New decision-making opportunities will become available as the simulation transitions into Year 2.
Effective Distribution Channels
- Identify the most effective distribution channel for the Mountain Bike segment, noting that a significant percentage of customers prefer it.
Sales Forecast Adjustments
- Situations that warrant an increase in Sales Forecast for the upcoming year must be recognized to optimize performance.
Retail Margin and Support Evaluation
- Effectiveness of decisions related to Retail Margin and Extra Support can be analyzed using specific indices from the Market Summary report.
Factory Capacity Considerations
- Increasing Factory Capacity (total SCU) necessitates higher expenditures on Efficiency and Quality.
Sensitivity to Quality
- The Mountain segment exhibits a Medium sensitivity to Quality.
Factory Capacity Measurement
- The total factory capacity is initially 20,000 Standard Capacity Units (SCU) before any modifications.
Production Capacity for Youth Bikes
- To produce 30,000 Youth Bikes, the calculation of spare Factory Capacity is vital, considering production requirements.
New Decisions in Year 4
- Additional decision options become accessible for participants from Year 4 of the simulation.
Market Responsiveness
- Consumers in the Mountain and Road Markets are most responsive to enhancements in Product Specifications.
Share Repurchase Rationale
- Repurchasing shares can be a strategic decision for financial management, reasons outlined in relevant tutorials.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
Test your knowledge on the MikesBikes simulation! This quiz covers key concepts such as decision areas, terminology, and company types within the simulation framework. Perfect for beginners looking to understand the fundamentals of MikesBikes.
