Disaggregating Stock Price by Alyssa Lucas
In order to capitalize on stock price, Team Navy has spent a significant amount of time determining what factors alter it. The team identified four key stock price determining factors. These are sales growth, market share, EBITDA, and technological capacity. After six round of observation, it is clear that these variables are largely responsible for a firm’s share price.
Sales Growth and Market Share
The importance of sales growth and market share on stock price can be observed by analyzing the market report on CESIM. Team Navy’s market share is 15.28%. The price of the company’s shares usually indicates how strong the company is. If the company’s share price is high then the company is said …show more content…
Market share overall for Team Navy for the USA was 14%, Asia it was 15% and Europe it was 13%. The company achieved this by developing our own technology to save money and keep up with our competitors.
EBITDA
Stock price reflects how healthy the company is. If the stock price is low then company’s overall health is said to be poor. If the stock price is high then the company’s overall health is said to be good. Team Navy’s EBITDA for round 6 was 36.63%. This percentage means the earnings before interest; taxes, depreciation, and amortization are paid.
Team Navy paid off a ton of debt each round reducing the company’s overall long term debt to $221,789. None of our facilities were short in cash flow. If one of the facilities were operating in the red, the company would transfer money from the other plants to help cover the loss. Team Navy did not exceed the depreciation amount that was planned.
Technological …show more content…
The business world is all about the competitors, their next move, and the customer’s best interest. The firm took an interest in the past decisions of competitors in order to guess what each team would do next. By watching the trends of each competitor throughout the rounds, Team Navy was able to make strategic decisions that would develop the team into a leader in the industry.
Risk Assessment
Early in the simulation, Team Navy was cautious in regards to building factories too soon. When the team needed additional resources, additional production plants were built overseas in an attempt to reduce production costs. The team was successful in their reduction of spending by being conservative with the timing of the new plants as not to spend money on unnecessary plants.
Learning
Team Navy realized the benefit of this simulation game was to teach the risks and rewards of managing organizations in many different regions, especially the monetary aspect of running an international business, along with marketing and research and development.
Final
In order to capitalize on stock price, Team Navy has spent a significant amount of time determining what factors alter it. The team identified four key stock price determining factors. These are sales growth, market share, EBITDA, and technological capacity. After six round of observation, it is clear that these variables are largely responsible for a firm’s share price.
Sales Growth and Market Share
The importance of sales growth and market share on stock price can be observed by analyzing the market report on CESIM. Team Navy’s market share is 15.28%. The price of the company’s shares usually indicates how strong the company is. If the company’s share price is high then the company is said …show more content…
Market share overall for Team Navy for the USA was 14%, Asia it was 15% and Europe it was 13%. The company achieved this by developing our own technology to save money and keep up with our competitors.
EBITDA
Stock price reflects how healthy the company is. If the stock price is low then company’s overall health is said to be poor. If the stock price is high then the company’s overall health is said to be good. Team Navy’s EBITDA for round 6 was 36.63%. This percentage means the earnings before interest; taxes, depreciation, and amortization are paid.
Team Navy paid off a ton of debt each round reducing the company’s overall long term debt to $221,789. None of our facilities were short in cash flow. If one of the facilities were operating in the red, the company would transfer money from the other plants to help cover the loss. Team Navy did not exceed the depreciation amount that was planned.
Technological …show more content…
The business world is all about the competitors, their next move, and the customer’s best interest. The firm took an interest in the past decisions of competitors in order to guess what each team would do next. By watching the trends of each competitor throughout the rounds, Team Navy was able to make strategic decisions that would develop the team into a leader in the industry.
Risk Assessment
Early in the simulation, Team Navy was cautious in regards to building factories too soon. When the team needed additional resources, additional production plants were built overseas in an attempt to reduce production costs. The team was successful in their reduction of spending by being conservative with the timing of the new plants as not to spend money on unnecessary plants.
Learning
Team Navy realized the benefit of this simulation game was to teach the risks and rewards of managing organizations in many different regions, especially the monetary aspect of running an international business, along with marketing and research and development.
Final