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Lion Business
Challenge
Introduction & Briefing
1
What is the Business Challenge?
• Simulation of the business world
• Process to run a diverse manufacturing and
trading operation
• Opportunity to develop a variety of business
skills
Your Objectives?
• Run a complete business enterprise
• Maximise Profits over trading periods
• but…manage resources within cash flow constraints
• Gain commercial awareness (without the risk)
• Ensure all facets of your business are run well
How does it work?
6. AWAIT RESULTS
& REPEAT 2-5
1. FORMULATE TEAMS UNDERSTAND
SCENARIO
FAMILIARISE
PARTICIPANTS
MATERIAL
3. MAKE DECISIONS
Pricing & Marketing
Production
Consultancy
Transport & Warehousing
Contracts
Cash Management
4. LOGIN TO SECURE SERVER
2. MEET TO PLAN STRATEGY
5. LOAD DECISION & SAVE
DECISION FORM
What decisions are needed?
• Pricing
• Marketing
• Production
• Consultants
• Transport
• Warehousing
• Finance
• Contracts
• Cashflow
What is your strategy?
• The Warehouse/The Reject Shop
• Cheap, Cheap, Cheap
• High Volume Needed for Profit
• Bunnings
• Perceived Value for $
• Mixed Bag Pricing
• BMW
• High Price
• Lower Volume
Key Issues
• Pricing
• Marketing
• Production
• Cash Management
Secondary Issues
• Contracts
• Transport
• Consultants
• Storage
• Investments/Loans
Time Requirements
• Each of your 6 decisions will take approx 1 ½
hours
• Decision deadlines will be weekly on Thursday at
8.00pm(NZT)/6.00pm(Syd Time)
• Late decisions will NOT be accepted
• Processing can take several hours, so results will
be available at 1pm (NZT) on Friday
Teams
• Divided into teams of 3
• Teams are generally made up from different divisions
of the organisation
• One game where all 5 teams compete against each
other.
Let’s look at your Game
• Scenario
• Management Reports
• Economic Conditions Notice – Pricing/Acquisitions
• Decision Form
• Participant Manual
Key Elements
• Profitability
• Reasonably Good profit so far ($242,778). Focus on
raising revenue
• Production
• Capacity OK currently, but watch increased demand
(47,000 vs. 23,497 sold)
• Markets
• New Aus/USA markets to enter, when you get approval
• Transportation
• Capacity OK, but watch increased demand (15,000 units)
• Cash
• Moderate resources available (cash $639,032 debtors
$578,178, loan $763,972)
Business Challenge Website
• Player Login: thebusinesschallenge.nz
• Situation Overview
• Decision Form
• Save
• Time Out
• Business News
• Summary Report
Where to from here…
• Get your teams together (either remotely or face to face) &
formulate the strategy/direction for your company.
• Start making your decision
• Look at your margins
• Future prospects (supply requirements)
• Pricing/Production… everything will flow from here.
• 1st Decision is the toughest. From here it gets easier & easier.
• 1st Decision due Thursday 23rd before 8.00pm
• Any assistance required… just ask.
• Email: enquiries@businesschallenge.co.nz

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Lion briefing

  • 2. What is the Business Challenge? • Simulation of the business world • Process to run a diverse manufacturing and trading operation • Opportunity to develop a variety of business skills
  • 3. Your Objectives? • Run a complete business enterprise • Maximise Profits over trading periods • but…manage resources within cash flow constraints • Gain commercial awareness (without the risk) • Ensure all facets of your business are run well
  • 4. How does it work? 6. AWAIT RESULTS & REPEAT 2-5 1. FORMULATE TEAMS UNDERSTAND SCENARIO FAMILIARISE PARTICIPANTS MATERIAL 3. MAKE DECISIONS Pricing & Marketing Production Consultancy Transport & Warehousing Contracts Cash Management 4. LOGIN TO SECURE SERVER 2. MEET TO PLAN STRATEGY 5. LOAD DECISION & SAVE DECISION FORM
  • 5. What decisions are needed? • Pricing • Marketing • Production • Consultants • Transport • Warehousing • Finance • Contracts • Cashflow
  • 6. What is your strategy? • The Warehouse/The Reject Shop • Cheap, Cheap, Cheap • High Volume Needed for Profit • Bunnings • Perceived Value for $ • Mixed Bag Pricing • BMW • High Price • Lower Volume
  • 7. Key Issues • Pricing • Marketing • Production • Cash Management
  • 8. Secondary Issues • Contracts • Transport • Consultants • Storage • Investments/Loans
  • 9. Time Requirements • Each of your 6 decisions will take approx 1 ½ hours • Decision deadlines will be weekly on Thursday at 8.00pm(NZT)/6.00pm(Syd Time) • Late decisions will NOT be accepted • Processing can take several hours, so results will be available at 1pm (NZT) on Friday
  • 10. Teams • Divided into teams of 3 • Teams are generally made up from different divisions of the organisation • One game where all 5 teams compete against each other.
  • 11. Let’s look at your Game • Scenario • Management Reports • Economic Conditions Notice – Pricing/Acquisitions • Decision Form • Participant Manual
  • 12. Key Elements • Profitability • Reasonably Good profit so far ($242,778). Focus on raising revenue • Production • Capacity OK currently, but watch increased demand (47,000 vs. 23,497 sold) • Markets • New Aus/USA markets to enter, when you get approval • Transportation • Capacity OK, but watch increased demand (15,000 units) • Cash • Moderate resources available (cash $639,032 debtors $578,178, loan $763,972)
  • 13.
  • 14. Business Challenge Website • Player Login: thebusinesschallenge.nz • Situation Overview • Decision Form • Save • Time Out • Business News • Summary Report
  • 15. Where to from here… • Get your teams together (either remotely or face to face) & formulate the strategy/direction for your company. • Start making your decision • Look at your margins • Future prospects (supply requirements) • Pricing/Production… everything will flow from here. • 1st Decision is the toughest. From here it gets easier & easier. • 1st Decision due Thursday 23rd before 8.00pm • Any assistance required… just ask. • Email: enquiries@businesschallenge.co.nz