In Q4 of the simulation you and your team have the opportunity to seek Venture Capital (VC) funding to help your business grow. VC funding is one way of many to gain needed resources as your business scales and grows to the next growth stage. In the real world, you as the leadership team will need to assess the current state of your business and determine what support you are going to need to help you achieve your growth goals. Support can and should come in many forms and help solve multiple problems. This can include but not be limited to, the leadership team growth, product/service development, finance, sales, and marketing. In this discussion question, using the readings, personal examples, and other research that you conduct;
Select 1-3 types of resource support that you think would best fit your simulation company. You may use the resources for this unit as well as any additional research you complete, and personal experiences
Explain your rationale for these choices in relation to your simulation company’s values, mission, goals, and current place in game play (Standings attached). Would you use one or multiple resource sources? Why?
Discuss how you would present this information to the leadership team in your simulation company and present an outline of your strategy for accessing the resources you have identified.
Company Name: Carbon Cycles
Target markets: 1 – Recreation, 2 – Mountain, 3 – Speed
Mission statement: To promote adventure and healthy living with the world
Strategic directions:
Corporate culture
earn customer trust and business every day
act with integrity in everything we do
treat everyone fairly and value diversity
be accountable for our actions
win as a team
give back to the community
offer excellent customer service
be a good corporate citizen
deliver value to all stakeholders
Market orientation
focus on value-driven markets
focus on environmentally responsive markets
Corporate objectives
market presence (market share, sales volume…)
shareholder value (earnings per share, net equity, net equity per share…)
human resources (compensation, empowerment and endearment)
stewardship (environment, carbon footprint, energy consumption, green)
Corporate strategic thrusts
Short-term vs. Long-term
Balance both short and long-term
Willingness to Take Risk
Risk-taker – willing to take chances to get ahead
Market Leadership
Pioneer – first to market to get ahead
Firm’s Top Competitive Forces
Superior customer value
Employee empowerment
Strong asset management (productive use of resources)
Technology leadership
Embrace conscious capitalism
Markets
Your company will be introducing a new line of carbon fiber bicycles into selected markets in North America (NORAM), Latin America (LATAM), Europe, the Middle East and Africa (Europe-MEA), and Asia Pacific (APAC) regions.
The map is divided into 4 regions: North America (abbreviated NORAM), Latin and South America (LATAM), Europe, the Middle East and Africa (Europe-MEA), and Asia and the Pacific (APAC). NORAM’s city is New York. LATAM’s city is Rio de Janeiro. Europe/MEA’s city is Amsterdam. APAC’s city is Bangalore.
Four geographic markets have been selected as sites for test marketing, one in each region. Each city represents a different market opportunity. The mix of customers with different potential demand will vary across each of them.
The current state of the carbon fiber bicycle market
The carbon fiber bicycle market is a niche segment of the bicycle industry. Almost all carbon fiber bikes are very expensive. As a result, sales have been limited to high performance road and mountain bikes by elite users. Many other riders would love to have the benefits of a carbon fiber bike, but they have been too expensive to purchase. With the introduction of moderately priced carbon fiber bikes, all of this could change. If things unfold as expected, this business could actually be in the introductory stage of the product life cycle.
Other firms will be entering the market at the same time that you are. In fact, the whole bicycle industry is interested in 3D printing. Each firm will be testing the market for these new carbon fiber bikes.
You will be selling through company-owned sales outlets. You will not be selling through third-party bike stores at this time. There are too many unanswered questions and it would be best to retain complete control of this test market. Plus, you may discover that this new distribution channel will be viable and worthy of expanding.
All competitors, including your own company, will start with exactly the same resources and knowledge of the market.
Sample Solution