Thank you! Please make more capsim videos! I’ve added two new products in low and traditional segments but I’m not quite sure what to do with them on the different decision worksheets. My low end is doing really poorly right now and since I spent a lot of money on automation and capacity, I got an emergency loan
One of the most important things is to look at the customer buying criteria in the CapStone Courier. Make sure your product matches that, is marketed/priced well, and is forecasted appropriately.
@@BrandonPhD Ok. The range is from 22,000-27,000. I noticed that my group & every other group was increasing this value every round to be in the upper range. We are currently in first place going into round 3, so I wanna make sure we can cut costs where we can but also hold competitive advantage!
@miastaley1378 try to balance what the consumer wants the most with costs. Will increasing it and the associated sales increase make up for the added cost? That is the “fun” of the simulation.
Also, given that i’m in round 3 of the practice simulation, is it too late to add a new product? I’d rather do it now to see how it performs versus the real thing and it completely tank. With that said, should we do it in the market where we sold the most units? I know your example is for Size, but in our simulation size has the least units sold. I really want to add a new product in Performance because the demand growth is 19.8% (the highest segment) OR High-End because the market size is at 3,500 and demand growth rate at 16.2%
You can, but I like to do it early. It takes time to get a product up and running. Look where there is a lot of competition, look at where there is little. You need to decide what you will do and how to do it. Look at products that don’t require age to be #1 because your product will always be young. It likely won’t come out until round 5.
Assuming you are playing a game that has 8 rounds, no it is not too late. I always say that the first half of the game is spending money/investing, and the second half is paying off debt/making profit. That being said, you want to create new products earlier in the game. That way you can get to most benefit from it for the longest amount of time. If you started a new product in round 7, it wouldn't come out until round 8, and the game would be over. Long story short, no. But do it earlier rather than later.
If I am to add a product in the size segment in round 4, would I use round 4 situation analysis numbers or would it technically be round 1? Thank you for all your help
You can do good without adding a new product, but the more products you have the more potential for sales you have. However, I would recommend doing a couple products well than having a ton of products do poorly.
Thanks SOOOOO much for these vdos on the CAPSIM simulation. These helped me tremendously!
Thank you! Please make more capsim videos! I’ve added two new products in low and traditional segments but I’m not quite sure what to do with them on the different decision worksheets. My low end is doing really poorly right now and since I spent a lot of money on automation and capacity, I got an emergency loan
One of the most important things is to look at the customer buying criteria in the CapStone Courier. Make sure your product matches that, is marketed/priced well, and is forecasted appropriately.
You’re a champion. This is much appreciated
So once we set the MTBF in the first round, we don’t need to make updates? I thought we did need to for performance?
MTBF is essentially the quality of materials you are using. Double check, but I’m pretty sure quality expectations do not change throughout the game.
@@BrandonPhD Ok. The range is from 22,000-27,000. I noticed that my group & every other group was increasing this value every round to be in the upper range. We are currently in first place going into round 3, so I wanna make sure we can cut costs where we can but also hold competitive advantage!
@miastaley1378 try to balance what the consumer wants the most with costs. Will increasing it and the associated sales increase make up for the added cost? That is the “fun” of the simulation.
@@BrandonPhDOk thanks!
Also, given that i’m in round 3 of the practice simulation, is it too late to add a new product? I’d rather do it now to see how it performs versus the real thing and it completely tank.
With that said, should we do it in the market where we sold the most units? I know your example is for Size, but in our simulation size has the least units sold.
I really want to add a new product in Performance because the demand growth is 19.8% (the highest segment)
OR
High-End because the market size is at 3,500 and demand growth rate at 16.2%
You can, but I like to do it early. It takes time to get a product up and running. Look where there is a lot of competition, look at where there is little. You need to decide what you will do and how to do it. Look at products that don’t require age to be #1 because your product will always be young. It likely won’t come out until round 5.
@@BrandonPhD Thank you for the help!
Thank you. For the growth rate, as the new product will come out in 2023 instead of 2022, will the growth rate be: 1.183 (2022)*1.183 (2023) =1.399?
Would you say that round 3 is too late to start a new product?
Assuming you are playing a game that has 8 rounds, no it is not too late. I always say that the first half of the game is spending money/investing, and the second half is paying off debt/making profit.
That being said, you want to create new products earlier in the game. That way you can get to most benefit from it for the longest amount of time. If you started a new product in round 7, it wouldn't come out until round 8, and the game would be over.
Long story short, no. But do it earlier rather than later.
This is really helpful, thanks a lot
Link to the CapSim Help files! psychologyofbusiness.beehiiv.com/p/capsim-materials
If I am to add a product in the size segment in round 4, would I use round 4 situation analysis numbers or would it technically be round 1? Thank you for all your help
It would be round 4, but remember it takes a year for a product to get up and running, so if you put in round 4 it would be late (so do year 5 or 6).
Is it possible to do good without adding any new product?is it an advantage to add a new product?
You can do good without adding a new product, but the more products you have the more potential for sales you have. However, I would recommend doing a couple products well than having a ton of products do poorly.
Thank you so very much.
thank you
Why is Performance more tricky?
MY INCOME STATEMENT IS SHOWING NEGATIVE FOR NEW PRODUCT.WHAT TO DO?