Règle du jeu
You run the Board of Directors of a company that has invested in several product lines or territories and make the main annual strategic decisions that affect the company’s development over the medium and long term.
Your company is in competition with other companies that have also invested in products or territories that compete with yours.
Your score in the game is calculated year after year and represents the evaluation of your decisions, from the point of view of your shareholders
. It takes into account:
- The value of your company, equal to 15 times your profits.
- The cumulative dividends you have paid to your shareholders since the first year of the game.
- Your cash flow at the end of the year
- Your debt level, which reduces your score.
Strathena – valeur des sociétés
Your first decision is to invest the profits in your different divisions (products or territories). By investing, you will change the competitive landscape. Competitors who modify it to their advantage will gain the upper hand in the game.
You candistribute your investment capacity in different ways:
- Consistently across all your divisions.
- By investing more in low-margin divisions to strengthen them.
- By investing mainly, or even exclusively, in high profitability divisions, to the detriment of low profitability divisions.
- You can also divest by selling the assets of your less profitable divisions or those in less profitable markets and using the cash generated by these sales to invest in other more promising divisions.
Strathena – conseil d’administration
You can also increase your investment capacity :
- By adjusting the level of dividends to be paid to your shareholders.
- By taking out loans that will help you increase your investments.
- By issuing new actions (in advanced sessions).
Every virtual year, the server calculates the results of each competitor and the new market shares and sends them to you a few seconds later.
Your decisions are governed by a central banker who regulates the economy in the banking sector (interest rate, loan repayment period, maximum debt ratio) and in the stock market sector (by limiting the dilution rate of your share issues).
It also sets rules on bankruptcy and ensures market balance by prohibiting dominant competitive positions.
The advanced levels of the game (reserved for subscribers) make it possible to monitor the evolution of life cycles and the supply/demand ratio in each of your divisions.
You will need to pay attention to the risks associated with overcapacity that overwhelms prices and profitability. A new graph will show you the annual supply/demand ratio in each region ( “Competitor Graph” tab).
For more information
PTo learn more about the art of corporate strategy, also follow Xavier Fontanet’s courses on the iPad application The 12 keys of the strategy.