In our experience with Pharmasim we learned that Marketing decision making must be very sensitive and responsive to everything going on in the industry which is very complex. Consumer responses to marketing tactics can be volatile and unpredictable and no idea is guaranteed to work well. Marketing is a matter of meticulous research, assumptions, planning, and volatility at times. Overall we took away two major points: 1) that it is important to consider the product lifecycle in evaluating how to promote businesses and, 2) that the “Sweet Spot” as a competitive advantage should be the greatest point of consideration when evaluating how to best gain leverage to beat the competition in the minds of …show more content…
Period Seven to Eight
In this period we increased the price of our product Allround + from$ 3.99 to $5.59. Inflation rate of was 3.8% during this period and we should have changed the Allround price as well but instead we kept the rate constant at $5.29.In this period the BCG Matrix indicated that our Allround+ moved to question mark which means it has the potential to gain market share and become a star.
Final Outcome Yearly Outlook | Period | Manufacturer Sales ($ in millions) | Cumulative Manufacturer Sales ($ in millions) | Net Income ($ in millions) | Cumulative Net Income ($ in millions) | Stock Price($) | 0 | 355 | 355 | 67 | 67 | 38.35 | 1 | 426 | 781 | 94 | 162 | 51.78 | 2 | 396 | 1,177 | 81 | 242 | 41.19 | 3 | 391 | 1,568 | 56 | 298 | 33.43 | 4 | 434 | 2,002 | 53 | 350 | 35.20 | 5 | 459 | 2,461 | 58 | 409 | 39.32 | 6 | 458 | 2,920 | 46 | 455 | 35.14 | 7 | 451 | 3,371 | 16 | 470 | 25.61 | 8 | 444 | 3,815 | 22 | 493 | 24.20 |
What Would We Do Differently If We Could?
If we had the chance to redo the Pharmasim simulation we would do the following: 1. First and foremost decided on hard quantitative goals and specifically listed by what percentage we wanted to see our income