CAPSIM 2024 Test 1 – Complete Questions & Solutions (100% Correct)

CAPSIM 2024 Test 1 – Complete Questions & Solutions (100% Correct) CAPSIM 2024 Test 1 – Complete Questions & Solutions (100% Correct) Four buying criteria and which criteria are most important to each segment. Of these four, which change every year in terms of what the market desires and by how much. Which do not change each year? - ANSWER - Price: Most important to the Low End Segment. Changes each year by $0.50. Age: Most important to the Traditional Segment. Does not change each year. Changes when you change positioning MTBF: Most important to the Performance Segment. Does not change each year. Positioning: Most important to the High End Segment and the Size Segment. Demand changes each year. Segment growth rates - ANSWER - 5.)Traditional 9.2% 4.)Low End 11.7% 3.)High End 16.2% 1.) Performance 19.8% 2.) Size 18.3% Emergency loans - cause and cost - ANSWER - If you manage your cash position poorly and run out of cash, the simulation will give you an emergency loan to cover the shortfall. You will receive the exact amount of your shortfall. However, there is a 7.5% penalty fee on top of the loan amount. What two elements make up the "Positioning" criteria? - ANSWER - Size and performance What is a perceptual map and how do positions change over time in Capsim? - ANSWER - A perceptual map is a tool that tracks the position of their products and those of their competitors. Over time, positions begin to drift down and too the right each year Preferred ranges for MTBF and Price. How much demand is lost if you go above or below the preferred ranges? - ANSWER - Price: Every segment has a $10.00 price range. Customers prefer products towards the bottom of the range. Price ranges in all segments drop $0.50 per year. MTBF: Each segment has a 5,000 hour range for MTBF. Customers prefer products towards the top of the range. Demand scores fall rapidly if beneath the range. Will lose 20% of their customer survey score. For R&D Projects - ANSWER - -Impact of decisions on material cost. Positioning affects material costs. The more advanced the positioning, the higher the cost. -Project length and what all impacts the length of project Project lengths can be as short as three months or as long as three years. Project lengths will increase when the company puts two or more products into R&D at the same time. When this happens each R&D project takes longer. Assembly line automation levels also affect project lengths -Impact of project length on R&D project management cost R&D project costs are driven by the amount of time they take to complete. A six month project costs $500,000 and a one year project costs $1,000,000.