Capism project

After the successful launch of the company, the government made the decision to split a monopoly into similar competitors, a move that made it difficult to assess operating strategies that were inefficient and also identifying products that were not doing well in the market.     Even though the financial report for the previous year indicated that business was good, the conditions in the company are not as good especially with the poor state of the financial management, deteriorating state of the products and unsuccessful marketing strategies. However, a change in the current situation is expected after successfully conducting a capism business simulation.

The simulation was helpful in that it helped to identify ways in which the company could create new products and develop the already existing ones; decide on how to market them; which channels to use; and how to ensure that there is enough capital to run the company (Capsim, 2015). The section on the capstone courier helped to identify the customers buying patterns, how to position products, and also had relevant information on financial records that are very helpful in planning the company’s operations. After completing a situational analysis, it was evident that the company was not doing so well in the market. In 2016 and 2017 for example, the company made a profit of 4000 dollars. This is however expected to drop to lower, if any, profits in the coming years if the situation is not rectified. The company does however maintain a 15% market share, meaning that its focus ought to be on enhancing its products (Annual report, n.d).

After analyzing the perfomas and annual report, a plan was formulated on the capstone spreadsheet. The R&D department will be in charge of designing products that will be desirable to the target market. The marketing department will then engage in efforts to promote and price these products to the targeted customers. Depending on the sales forecast, the production department will take the responsibility of ensuring that appropriate product units are made to meet the demand created.  The finance department will ensure that there are adequate financial resources and that the company can operate smoothly throughout the year (Capsim, 2015).

 

 

 

References

Capsim, (2015) “Team member guide” Capstone

Annual report (Attached pdf)