How does the BSG game work?
The Business Strategy Game is an online exercise where class members are divided into teams and assigned the task of running an athletic footwear company in head-to-head competition against companies managed by other class members. Company operations parallel those of actual athletic footwear companies.
How do you get good at BSG?
BSG Game Tips
- Teamwork. Collaboration is core to winning the Business Strategy Game.
- Be Professional When Starting the Game. Each player will engage the start differently.
- Social Responsibility. Can social responsibility help with my BSG?
- Improving Image Rating.
- Improve the ROE, EPS, and Stock Price.
How does BSG increase net profit?
Answer: To increase your company’s net income you should focus on improving your bottom line as well as your top line, try to trim labor, materials, warehouse, and delivery expenses.
How does BSG increase return on equity?
How do you increase return on equity?
- Use more financial leverage. Companies can finance themselves with debt and equity capital. …
- Increase profit margins.
- Improve asset turnover. …
- Distribute idle cash. …
- Lower taxes.
What did you learn from BSG?
The business strategy game gave me more insight into the ins and outs of the global competition, the different strategies companies can pursue in world markets, and the challenges of competing in a global market environment. The business strategy game boosted my understanding of basic revenue-cost-profit relationships.
How do you win the business strategy game?
For easy winning of your BSG game, you need a high quality/low model or a mid-quality/high-model strategy. With this strategy, you will be sure to make profits, which is the key to this online game. Contrary, if you pay attention to revenues or ending either cash or market share, you are bound to lose.
How can I improve my BSG credit score?
Borrow new loans and pay off current debts, to increase Credit Rating. We can check current Debts and their Interest Rates in the Fianacial Report, Page 5.
How do stock prices increase?
If more people want to buy a stock (demand) than sell it (supply), then the price moves up. Conversely, if more people wanted to sell a stock than buy it, there would be greater supply than demand, and the price would fall.
How is stock price calculated?
To figure out how valuable the shares are for traders, take the last updated value of the company share and multiply it by outstanding shares. Another method to calculate the price of the share is the price to earnings ratio.
What is a good return on equity?
ROEs of 15–20% are generally considered good. ROE is also a factor in stock valuation, in association with other financial ratios.
How do you increase return on equity?
Improve ROE by Increasing Profit Margins
- Raise the price of the product.
- Negotiate with suppliers or change your packaging to reduce the cost of goods sold.
- Reduce your labor costs.
- Reduce operating expense.
- Any combination of these approaches.
How do you increase image rating on Battlestar Galactica?
It has also been observed that by adding the S/Q upgrade you can boost your S/Q by 1 and it will reflect in increasing your image rating again. Keep focusing on bringing the image rating of your company above 70 and this will surely help you stay ahead.
How do you describe a business strategy?
A business strategy is an outline of the actions and decisions a company plans to take to reach its goals and objectives. A business strategy defines what the company needs to do to reach its goals, which can help guide the decision-making process for hiring as well as resource allocation.
How do you increase image rating in business strategy?
What companies use low cost strategy?
A company pursuing a Cost Leadership strategy aims to establish a competitive advantage by achieving the lowest operational costs in their sector. Some cost leadership examples include McDonald’s, Walmart, RyanAir, Primark and IKEA.
What affects image rating in BSG?
The image rating for each company is based on (1) its branded Styling/Quality (S/Q) ratings in each geographic region, (2) its market shares for both branded and private-label footwear in each of the four geographic regions, and (3) company actions to display corporate citizenship and conduct operations in a socially …
What affects credit rating BSG?
The interest coverage ratio and the default risk ratio are the two most important measures in determining a company’s credit rating.
Do you owe money if your stock goes down?
Do I owe money if a stock goes down? The value of your investment will decrease, but you will not owe money. If you buy stock using borrowed money, you will owe money no matter which way the stock price goes because you have to repay the loan.
How does BSG calculate stock?
Your company’s stock price is a function of revenue growth, earnings per share growth, ROE, credit rating, dividend per share growth, and management’s ability to consistently deliver good results as measured by the percentage of the 5 performance targets that your company achieves over the course of the BSG exercise.
What do you learn from the BSG game?
The Business Strategy Game is a hands-on learning exercise that draws together the information and lessons of prior courses, consolidates your knowledge about the different aspects of running a company, builds your confidence in analyzing the revenue-cost-profit economics of a business, helps you understand how the …
How do you win the BSG strategy game?
A company can improve its return on equity in a number of ways, but here are the five most common.
- Use more financial leverage. Companies can finance themselves with debt and equity capital.
- Increase profit margins.
- Improve asset turnover.
- Distribute idle cash.
- Lower taxes.
A normal ROE in the utility sector could be 10% or less. A technology or retail firm with smaller balance sheet accounts relative to net income may have normal ROE levels of 18% or more. A good rule of thumb is to target an ROE that is equal to or just above the average for the peer group.
How is the BSG game graded?
The scoring includes both an annual and a game to date “Overall Score” for each company. These scores are determined by combining each company’s Investor Expectation (I.E.) The default weights placed on the 2 BSG scoring standards are 50% for the Investor Expectations Standard and 50% for the Best-in-Industry Standard.