preview

Evaluation Of A Performance Evaluation

Satisfactory Essays

Performance Evaluation
Year 0 – 2015 Table 1 Source: Capsim: The Globe Report Round 0
All the companies in the class started together in year 2015 with equal financials and market share as shown above.
Year 1 – 2016

The above results show how the management took decisions for Year 1; the results show that Baldwin is was not following its strategies and achieving its planned objectives.
In the first year Baldwin was selling only one product called Baker in the US and Asian markets. Baker was created as a budget product with a long service life to ensure that our customers are satisfied and demand is high. Baldwin had the highest market share in Asia but at the same time had the lowest sales and maximum losses. As we focused more on the Asian markets, we misjudged the consumer demand and hugely over produced and sold the product at a cheaper price to make sure our customer satisfaction rating is high. Since we overproduced than customer demand, our selling, general and administrative costs were at least three times higher than the other teams. Apart from the high production and labor costs, we spent over our budget for marketing and promotion. Due to this over budget and miscalculated expenditure, Baldwin received an emergency loan to finance the cash crunch and avoid bankruptcy.
Year 2 – 2017 In Year 2, Baldwin decided to enter the European market and launch a new product in Asian and American market, Betty. Entering a new market and the launch of new product had a

Get Access