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¶ … strategy for the Time Warp 3 was formulated based on careful analysis of the results of Time Warp 2, which provided insight into buyer behavior at different price points for the three tablets. The strategy was set to optimize the profits for all three products at pre-set levels of R&D allocation. There may be better R&D levels, but for Time Warp 3 these were not explored. The strategy for this Time Warp was as follows:
Discontinued
The results were as follows. In the first year, the X5 sold 1.859 million units and delivered a total profit of 151.182 million. The X6 sold 1.237 million units and delivered a total profit of 217.837 million. The X7 sold 0.740 million units and delivered a loss of around $4.8 million. The total income was 364.210 million for the year. The market saturation of the X5 is 54%, for the X6 it is 37% and for the X7 it is just 3%. There is significant room for growth in the X7 at this point, while the other two products are driving profitability. The total profitability is 655,785,354.
The second year saw the following results. The cumulative score at this point is 1,086,107,574. The X5 sold 1.292 million units and delivered a profit of 83.101 million. The X6 sold 1.514 million units and had a profit of 277.041 million dollars. The X7 sold 2.055 million units, delivering its first profit, which was 70.179 million dollars. The market saturation of the X5 was 80%, indicating that there is one viable year left of this product, as predicted. The market saturation of the X6 is 57%, indicating...
This indicates that, as predicted, it is growth in the X7 that will be the major contributor to company profitability going forward.
The third year saw the following results. The cumulative score at this point is 1,602,649,463. The X5 sold 0.703 million units and delivered a profit of 6.7 million. The X6 sold 1.242 million units and delivered a profit of 229 million. The X7 sold 5.929 million units and delivered a profit of 280 million. The total combined income was 516 million dollars. The market saturation of the X5 is 95%, indicating that it is time to discontinue this product. The market saturation of the X6 is 80% and the market saturation of the X7 is 20%.
The fourth year saw the following results. The cumulative score was 2,022,287,680. This is 96.2% of the maximum score. The X5 did not sell any units. The X6 sold 0.439 units and delivered a profit of 58 million. The X7 sold 7.361 million units and delivered a profit of 361 million dollars. The total profit was 419 million for the year. The market saturation of the X5 was 100%, the X6 was 96% and the X7 was 57%. The saturation figures are important because they indicate that the objective of profit maximization for the X6 was successful, even though it came at the expense of achieving 100% saturation. When the objective was 100% saturation for this product, there was less total profit. The X7 reached 57% saturation, a statistics that it incredible and indicative that this product is enjoying…
2012: 1/2/2012, beginning Time Warp 3. You completed analysis revised strategy years a breather. Just time, enter predetermined decisions year collect data future analysis. The time wrap experience comes to an end and makes way to resume the normal activities. Still, before doing so, it is necessary to review the decisions made in each of the two scenarios, and draw the adjacent lessons. The table below was created to offer
Business Studies Clipboard Tablet Company - Comparing the Time Warps Finally 2016 has arrived and after moving through the period 2012-2015 twice due to Groundhog Day, the results of the different strategies can be compared. Time warp In time warp 1, the first consideration was the X5. As the price was noted as being higher than competing products the price was lowered to $220. As the product was already established in the first time
Business Management CTC Time Warp Time warp 2 provided for increased knowledge regarding the market and the way in which CVP could be used to improve decision regarding prices. Time has reset and the CVP along with the results may be used to develop a more effective strategy. Adjustments to the strategy will be made learning from time warp 2. Underlying Theory The assessment from the past time warp indicated that the X5 has
Business Management Comparison of Time Warp 2 and Time Warp Time warp 3 has begun and the plan to make changes to the prices with the aim of optimizing the performance of Clipboard Table Co (CTC). The planned changes that were made at the end of time warp 2 will not be implemented, and the results of time warp three can be compared directly with time warp 2. The third time warp
Diagnosis, SLP: Time Warp The analysis below is of the recorded results as achieved in Time Warp 2 decisions. We will derive a separate strategy after evaluating the results which will give an explanation of what the fresh strategy ought to be. Different theories will be evaluated so as to arrive at the eventual strategy as concerns the implementation and operationalization of the idea just arrived at. Here is a scenario:
While the contribution margins of the X6 and X7 appear to be maximized, that only holds for the levels of R&D investment. A shift in the R&D investments levels, therefore, is critical to maximizing profit over the four years. This requires a greater understanding of how R&D affects demand for the two products. The X6 clearly benefits from a high level of R&D, but this impact may wane as