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StratSim Group C

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chloe street

on 16 December 2013

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Transcript of StratSim Group C

StratSim Presentation
Evolution of the Firm
Starting Point
Strategy To Meet Consumer Preferences
Key Strategies
Samantha Goodman
Juan Hinestrosa
Jenna Meyerowitz
David Ramos
Paola Riera
Chloe Street
Response to Competitive Pressures
What We Learned
Use an aggressive focus & take risks

Respond to consumer preferences

Distribution is key
Group C
Thank you for your attention!
Any comments and/or
Developed a mathematical manufacturing forecast system

Invested in upgrades for our vehicles during hard economic periods

Predicted the competition's moves based on previous actions and acted accordingly

Responded to emerging segments before the competition
Cumulative Net Income
Launch Results of The Camero
Leader in the 4S segment with 53% market share

45% profit margins $3,000M in sales
Launch Results of The Cruiser
Only utility vehicle on the market

Leader in the 5U segment with 56% market share

Sold 670,000 units for $21 Billion in sales

Leader of the 4U, and 5L segment
Market segments served
Value Seekers, Singles, Families
Product Descriptions
Cameo, Cafav, Crash
All started at a max of 4
Even start so no impacting competition
Invested in consumer research studies and responded to their needs
Upgraded vehicles
Increased Distribution
Modified prices

Directed efforts only to the segments where our vehicles were competitive
1T, 2F, 3U, 4F, 4S, 4U, 4L, 5U, 5L
Positioned the company to sell high end vehicles
Ended production of the Cameo (Economy)
Focused on high-end markets for most of our vehicles
Developed the Camero to lead in the 4S segment
Upgraded vehicles to the highest standards and adjusted prices

Developed a mathematical forecasting method to reduce inventory interest costs

Introduced the Cruiser to lead in the untapped 5U segment

Focused on profits rather than sales
Increased margins on every vehicle
Family Class Vehicle
Mid-Premium Pricing
Best size in class
Good horsepower
High attributes for interior, styling, quality and safety
For segments 2F & 4F, but fit 3U and 3S classes well
The family car market was very competitive, especially with firm B
Economy Class Vehicle
Low attributes, but low price
Targeted at 1E and 2E segments
Chose to discontinue car
Very small margins
Very competitive market
Move into the higher end market
Free up manufacturing capacity

Results of Strategic Choices
Truck Class Vehicle
Primarily focused on 1T & 3T segments
Mid range price for value seekers
Upgrades focused on quality, performance and styling
All other firms had trucks so we needed to differentiate ourselves
Sports Class Vehicle
Introduced to target 4S, 5L
High attributes, high price
Styling, Performance, Interior
Low volume of sales, high profit margins
No real competition in this space
Utility Class Vehicle
Targeted 4U, 5U
High Volume Markets
Good profit margins
Focused upgrades on size, performance, interior & styling
No competing utility vehicles
71.31% more net income than closest competitor
Full transcript