Importance of Practice Decisions in the Glo-Bus Business Strategy Game

(This is a sample text from the e-Book "Glo-Bus Glo-Bus Business Strategy Game Demystified" To buy a copy of this e-Book, click here)

Before the actual game is started, your instructor will allow you one or two decision entries for practice. Even though these practice decisions are not counted in your final evaluations, it is very important for you to get the maximum out of the opportunity. There are few fundamental mistakes done by many groups, during the practice decisions. First; taking it too much serious. If you put your best energy with the practice decision, it might give a chance for other teams to identify your strengths, and intended strategy. Therefore it is not always recommended to execute your actual strategy to the fullest operation, during the practice sessions. The other mistake a team can do is to take to too much easy. Some teams simply overlook the practice decision, and just enter few adhoc numbers during the decisions.

Our recommendation is to take the literal meaning of “practice” and get the maximum. Try different combinations of pricing, P/Q ratings, number of models etc and get a grip on how the system will respond. If you are given more than one practice decisions; don’t try the identical strategies in both sessions. For example, if you tried with a 4.5 P/Q rating for Multi-Featured cameras in the first decision (Premium product); try bringing down the P/Q rating to 3 and lowering the price in the second practice decision. Past experience suggests that, higher the P/Q rating in MF cameras; higher the price you have to keep; lower the market share; but high profit volumes through attractive margins. If the P/Q rating is lower for MF cameras, the price will be lower and you can gain high market shares. But with the lower price, you can only keep a marginal profit per unit. As a result your overall profit volume will be lower. You can try out all these scenarios in the practice decisions and get a grip on how the system responds.

(This is a sample text from the e-Book "Glo-Bus Glo-Bus Business Strategy Game Demystified" To buy a copy of this e-Book, click here)