Markstrat / StratX Simulation - Winning Guide and
Strategy Breakdown for Round 2
Hello and welcome back to the Markstrat Simulation walkthrough.
In this video, we'll dive into the Top 10 Winning Tips for Round 2,
helping you stay ahead of your competitors and make smart strategic decisions
based on real data, analytics, and tactical insights. Whether you’re a
first-time player or improving from Round 1, this guide will give you a solid
roadmap.
Tip 1: Analyze the Financial Report from Round 1
Before making any decisions in Round 2, start by reviewing
the Financial Report. Look at last round’s sales figures. If your sales
dropped, examine why:
- Was
your pricing too aggressive?
- Did
you cut promotion costs too much?
It’s essential to understand the balance between price
sensitivity and perceived value. If your price was too high,
customers likely moved to competitors. In Round 2, aim to maintain or slightly
lower your price—avoid overpricing.
Tip 2: Evaluate the Production Report and Inventory
Next, open the Production Report to assess:
- Units
produced vs. units sold
- Inventory
levels
Excess inventory means lost efficiency. Use the inventory
numbers to guide this round’s production. For example, if you produced 100,000
units but only sold 60,000, reduce production and adjust your forecast
accordingly.
Also, remember: each team starts with two products,
randomly assigned among five market segments:
- Shoppers
- Savers
- Explorers
- Professionals
- High
Earners
Because segments and product allocations vary, strategies
should be segment-specific.
Tip 3: Understand Your Product Positioning
In this example, our team controls two products: T
and Tops. Based on prior round data:
- Product
T fits best in Professional and High Earner segments.
- Product
Tops is positioned better for the Explorer segment.
Different segments have different pricing and feature
expectations. Tailor your product updates and marketing to the segment you're
targeting.
Tip 4: Study the Market Report
The Market Report provides an overview of:
- Competitor
product characteristics
- Price
levels
- Estimated
market shares
Compare your product to others in the same segment. Are you
pricing above average? Is your processing power or display resolution below
average? Use this data to shape pricing, advertising, and R&D investment.
Tip 5: Use the Consumer Survey Wisely
The Consumer Survey is crucial for identifying
demand:
- Look
at brand awareness and purchase intention for your products
- Focus
only on segments where purchase intention is high
Example:
- T has
high purchase intention from Professionals (20%) and High
Earners (25%)
- Tops
shows potential in the Explorer segment
Don’t waste advertising spend on low-potential segments.
Instead, concentrate on 1–2 high-yield segments.
Tip 6: Leverage the Semantic Scale for Product Updates
Buy the Semantic Scale Report every round. It shows:
- Ideal
values (7-point scale) for each product attribute by segment
- Where
your product currently stands
If the ideal display size for Professionals is 5.5 and your
product has 4.2, update it in R&D. If you don’t have products targeting
Shoppers or Savers, consider launching a new product tailored to their
needs.
Tip 7: Plan for New Product Development (NPD)
Markstrat allows product launches, and the earlier you
invest, the sooner you benefit. Based on current gaps:
- If you
don’t serve Shoppers and Savers, develop new products for
them
- Use
the semantic map to identify attribute requirements (e.g., lower
price, basic processing)
Budget some funds from advertising into NPD this round.
Tip 8: Smart Pricing Strategy
Avoid extreme pricing. In Round 1, many teams price above
$550, but that backfires.
Instead:
- Set
price to match or slightly undercut competitors
- For
high earners/professionals, $499 is often a sweet spot
- Match
price to product value and segment expectations
Lower price doesn’t always mean lower profit if it boosts
volume significantly.
Tip 9: Optimize Advertising and Commercial Team
In Round 2:
- Cut
wasteful ad spending
- Focus
media spending on target segments only
- Use
commercial team allocation (sales force) aligned with your market focus
If you’re investing in a new product, divert some ad
budget to R&D to get the product to market faster.
Tip 10: Forecast Demand and Production
Use all available reports to build a reasonable sales
forecast:
- Use
last round’s sales as a base
- Adjust
for changes in price, product features, and advertising
Example:
- If
you sold 150,000 units last round but plan to lower price and increase ad
spend, aim for 170,000 units
- Account
for existing inventory when planning production
Avoid both stockouts and oversupply. Balance is key.
Bonus: Use Excel Models to Simulate Outcomes
If possible, build a simple Excel sheet with:
- Demand
forecast formulas
- Unit
cost per product
- Profit
estimation per scenario
Simulate:
- If
price drops by $20 and ad increases by 10%, how much sales and profit
change?
- If
you launch a new product in Round 4, how much can it contribute to market
share by Round 6?
Recap of Key Actions for Round 2:
- Review
financial and production reports
- Adjust
price to align with market expectations
- Refocus
advertising and commercial team on high-intent segments
- Use
semantic scale and consumer surveys to update or plan new products
- Forecast
demand realistically and avoid inventory waste
Final Thoughts
Markstrat is a strategic simulation—success doesn’t
come from copying another team, but from reading the data better and adapting
faster. Focus on your own market segments, evolve your products wisely, and be
proactive with investments.
Thank you for watching this Markstrat Round 2 strategy
video. If you found it helpful, feel free to check the full guide or contact us
for help.
๐ Top Winning Guide to Markstrat
Simulation = https://markstrat2019.blogspot.com/
๐ฉ
FREE support for Round 1 and 2: mbagame2017@gmail.com
Good luck in your simulation, and see you in Round 3!
PART 2
Certainly! Below is the completed and enhanced video
lecture script for your Markstrat/StratX Simulation Guide – designed
for Round 2 strategy, including step-by-step guidance, explanations, and
transitions. This script has been cleaned up, logically structured, and
expanded to approximately 2,100 words, maintaining a natural spoken tone
for video recording.
๐ฅ [MARKSTRAT/STRATX VIDEO
LECTURE SCRIPT – ROUND 2 STRATEGY GUIDE]
[Opening]
Hello everyone, and welcome to our Markstrat/StratX
Simulation Guide for Round 2. This is a strategic walkthrough to
help you make high-impact decisions that will maximize your market share, brand
equity, and long-term profitability.
If you are new to Markstrat or StratX, don't worry — this
video will guide you step by step through the core areas you need to focus on
in Round 2, including:
- Marketing
mix decisions
- Product
updates using R&D
- Budget
allocation
- New
product development
- Commercial
team deployment
- Forecasting
sales and profits
- And
common pitfalls to avoid
Let’s get started!
๐งญ Part 1: Market Focus
Review – Understanding Explorer and Professional
First, let's revisit the market focus for your existing
products — especially “T” and “Tops”.
From the latest market data and consumer surveys, we observe
the following:
- Explorer
segment: demand is relatively flat at 183 this round, similar to last
round (180).
- Professional
segment: demand has grown by about 40 units. This indicates a slight
upward trend.
So what does this mean?
- Your
Tops product still sells mostly to Explorer and a small
percentage to Professional.
- But
since Explorer demand isn’t growing significantly, we need to price
Tops carefully and invest in R&D to sustain sales.
๐ฏ Part 2: Marketing Mix
for “Tops”
Let’s look at the actual decisions.
- Last
round, Tops sold 53,000 units.
- This
round, we aim for around 65,000 units, so set the sales forecast to
50,000–55,000 units to stay conservative.
Pricing Strategy
- Last
time, the price was too low. This round, aim for $489 — a strong
mid-point between $400–$500.
- At
this price, we keep a healthy unit margin while remaining
attractive to Explorer customers.
Advertising Budget
- We’ll
reduce advertising slightly this round. Why? Because we’re
allocating a significant portion of the budget to new product
development, which will yield stronger returns in future rounds.
So, your final Marketing Mix for “Tops”:
- Sales
forecast: 50,000–55,000
- Price:
$489
- Advertising:
Reduced
- Distribution:
Focused based on segment split
๐ฌ Part 3: Product Update
– Cost Reduction Strategy
Now let’s talk about brand updates — a powerful way
to improve product margins through cost reduction projects.
In the previous round, you launched cost reduction
R&D for both T and Tops. Now is the time to apply them.
Steps:
- Go
to the Brand Portfolio section
- Select
T → Click Modify → Apply the cost reduction project
- Do
the same for Tops
This will reduce your production costs and improve profit
margins for both products without affecting customer perception.
๐งช Part 4: New Product
Development (INDD Projects)
Now let’s move to the most important part of Round 2:
Launching New Products via R&D.
Why? Because new products allow you to:
- Enter
untapped segments
- Grow
your market share
- Double
your revenue and profits in future rounds
Current Projects:
You’re working on two new products:
- Shoer
(for the Shopper segment)
- Saver
(for the Saver segment)
Let’s break down how to set them up.
๐งฎ Part 5: Calculating
Ideal Semantic Scales (Using Excel)
To calculate ideal product specifications, use the semantic
scale and input the ideal customer values for each segment.
For Shoer (Shopper segment):
- Increase
values slightly beyond the ideal to maintain competitive advantage over
time
- Example
semantic values:
- Economy:
2.0
- Performance:
5.5
- Convenience:
4.4
- Reliability:
4.2
- Convert
to internal units: 8, 8, 48, 24, 56
- Enter
these into the INDD project
Estimated Cost: ~$1,290
(Expensive, but crucial for future growth)
For Saver (Saver segment):
- Semantic
values: 2.7, 4.1, 2.6, 2.2
- Converted
units: 9, 7, 36, 16, 29
- Estimated
Cost: ~$1,590
These projects are costly, which is why we cut
advertising in Round 2 and invest in R&D instead.
๐ Tip: You can
download a free Excel calculator under the description of this video to help
automate semantic scale calculations.
๐งพ Part 6: Budget
Reallocation and Sacrifice Strategy
Since INDD projects consume a large budget, we must sacrifice
in the short term to win in the long term.
How?
- Cut
advertising this round
- Delay
launching additional products like “Vodi” to Round 4 or later
- Avoid
launching weak products just to fill the portfolio
Remember, Round 2 is about foundation. Future rounds
will reward you for these R&D investments.
๐ฌ Part 7: Commercial Team
Deployment
Let’s discuss how to allocate your commercial team,
which handles sales distribution across different channels.
For “T” (targets Professionals & High Earners):
- 50%
Specialty Stores
- 30%
Mass Merchandisers
- 20%
Online Retailers
For “Tops” (targets Explorers):
- 75%
Specialty Stores
- 10%
Mass Merchandisers
- 15%
Online Retailers
This channel allocation boosts availability in relevant
markets and improves your distribution coverage index.
๐ Part 8: Market Research
Reports
This round, purchase selective market reports only.
Don’t overspend.
Recommended:
- Consumer
Panel
- Semantic
Scales
- Market
Forecast
Avoid buying the full suite of reports unless you have
excess budget. Save resources for R&D and future launches.
๐ผ Part 9: Marketing Plan
Review and Forecasting
Now it’s time to check the financial projections for
this round:
- Copy
the forecast data from the system
- Review:
- Estimated
brand contribution
- Profit
and Loss statement
- Sales
forecast by product
- Market
share estimates
If you’ve followed the above strategies, you should see:
- Moderate
sales for T and Tops
- Controlled
costs
- Negative
net profit (expected due to R&D investment)
- Strong
positioning for explosive growth starting Round 4
๐ Reminder: In
Markstrat, short-term loss is acceptable if it leads to long-term dominance.
๐ง Part 10: What NOT to Do
in Round 2
Let’s quickly go over common mistakes to avoid:
❌ Don’t overspend on advertising
❌
Don’t launch products without proper R&D
❌
Don’t ignore semantic scale optimization
❌
Don’t invest in too many market reports
❌
Don’t apply pricing without analyzing segment
sensitivity
Focus your energy and budget on things that matter: cost
control, R&D, and core marketing mix.
๐ฉ Support and Resources
If you need help calculating semantic scales or want to ask
for strategy tips, feel free to reach out:
๐ง Email: mbagame2017@gmail.com
๐
Free Blog & Tools: https://markstrat2019.blogspot.com/
We’re here to support you — especially during the critical
first 3 rounds.
[Closing – Motivation & Wrap-Up]
To sum up, Round 2 is all about strategy:
- Refine
your pricing and positioning
- Update
products using R&D
- Invest
smartly in new product development
- Control
budget while laying the groundwork for future growth
- And
most importantly, don’t panic if profits are low this round — it’s
part of the plan!
Thank you for watching this guide on Markstrat/StratX
Round 2 Strategy.
I wish you good luck and high performance in the upcoming rounds.
Stay sharp, play smart, and dominate the game!
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