Capsim Analysis Report

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Capsim Team Strategy Report
Our team decided to choose the “Broad Differentiation” strategy as the basic strategy for our company. We will attempt to differentiate our product line in several distinct dimensions. By providing products that are vastly superior and unique from our competitors and pricing the products with an affordable price, we can gain something that is beneficial for the company in the future, which is customers’ loyalty and awareness. We may change or modify our strategy for the next round depending how it performs against our competitors. R&D. In the first round, we tried to maintain a presence in every segment of our products by improving the performance and decreasing the size. We improved all of our products according to the ideal position of the performance and size in the Capstone Courier. By doing this, we are keeping our products fresh and exciting for the customers. Since there will only be two rounds, we will not add any new product line because it requires a lot of money and time. Marketing. We put a lot of money on sales and promotion for all segments in order to increase customers’ awareness and build a great brand image. After customer awareness or brand recognition is achieved, we will reduce the budget for sales and promotion for that segment. However, we modified the strategy by putting a low price in the first year in order to increase the customers’ awareness also. Offering a cheap price for all of the products gives the customers more choices, thus building a high customer loyalty to our products. Therefore, by distinguishing our products with better performance and size, having high awareness in the market, and easy accessibility, we will gain a competitive advantage in the market. Production. We also ordered the supplies ±100 of the predicted amount. Having the necessary amount of our product to meet our consumers’ needs is a priority. Failure to meet these needs could result in a loss of our brand recognition and...
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