BREEZE (business war game) an interactive didactic system

1. BREEZE(business war game)an interactive didactic system marketing, finance, strategy, stock exchange By professor Michel Muszynskiinfo@simulations-for-education.com

3. Interactive didactic system teaching how to manage a multi-product company In addition to “every day” decisions company executives take (as quality of products, their prices, communication budgets, manufacturing), students decide also on diversification, on long term investments, on stock exchange and even on building corporate holdings They use a full set of analytical tools (market, financial, competition, stock exchange and strategic analysis) This system works on line (web or intranet), with transmission of data and communication between computers of students and war game moderator

4. Products:

5. Market segments:

6. Product x Market analysis

7. Managing a virtual company: Extensive help

8. Whole company Send your decisionsto moderator This product

9. Product break-even:

10. Transfering data from students to moderator and back: Bidirectional

11. Financial analysis:

12. Competition analysis: Competitors

13. Different products Strategic analysis:

14. Web or intranet communication moderator ↔ students: Sent back by the moderator to his students

15. Stock exchange: „C” owns more than 25 % of capital of „A”

16. Holding's consolidated balance sheet: This part of „B” is owned by “A” in holding

17. Analysis of capital group (holding) parent company:

18. End finally, on moderator's screen...

20. Comparing achievements of different competitors: „C” is the winner in profit category

21. Analysing profits of different competitors:

22. Marketing & strategy topics covered: • Market demand as a decreasing function of selling price • Adaptation of product to market segment • Influence of product quality on market demand & profit • Mass market strategy vs differentiation of products • Interdependence of products (cannibalization effect) • Importance of advertising and ad budget on sales • Time evolution of market demand • Difference between volume and money market shares • Relationship between market share and variable cost (usually called strategic experience effect) • Relationship between relative market share and market growth rate – importance for the company future

23. Financial & stock exchange topics covered: • Company P & L statement as well as balance sheet • Equity and cumulated profits • Variable and fixed costs (and operation leverage) • Calculation of product break-even point • Direct and indirect costs (financial margin vs profit) • Liabilities and incurred financial costs • Fixed assets degressive depreciation • Production capacity and inventory management • Financial ratios:relative sales margin, ROI, ROE, assets turnover, financial leverage • Buying & selling stocks: investment portfolio (quotation on stock-exchange and values in balance sheet) • Exceptional operations when selling stocks or fx. assets • Dividends payment and collection • Competitor's take-over: purpose of holding, parent company management, consolidated balance sheet

24. BREEZE on-line and net…

25. BREEZE on-line and net… By professor Michel Muszynski info@simulations-for-education.com