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Text File | 1995-08-01 | 918 b | 20 lines | [TEXT/hscd] |
- Cost Leadership Dilemma
- For years, your business has successfully pursued the strategy of
- cost leadership. But this strategy no longer works very well.
- Your competitors are offering products with far superior quality
- and gaining ground in the market.
-
- It seems that the only way to react is to invest in R&D and hope
- your product quality improves. But this will definitely put your
- cost leadership at risk. Furthermore, R&D takes time and it is
- doubtful whether you can win the technology race.
-
- Your goal is to sustain profitability and achieve an annual
- profit of $100 million within 60 years. If you do, you will be
- rewarded with 100 points in your final score.
-
- To increase competition and make the game more challenging, you
- cannot produce all types of products in this scenario. The
- product types you can produce include: apparel, beverages,
- chemical products, food, toys, and watches.