World 3 QUARTERLY INDUSTRY REPORT 02-06-2018 Year 3 Quarter 1 BUSINESS POLICY GAME, 7TH EDITION 07:14:36 F1 © 2016 by Richard V. Cotter, David J. Fritzsche and Simon Rodan ---------------------------------------------------------------------------- FINANCIAL MARKET DATA Merica Sereno | ---Credit Rating--- GDP Index (Nominal) 101.50 102.80 | Interest Rates: No. 1 No. 2 No. 3 Consumer Price Index 99.80 100.80 | Long-Term 4.30 5.00 5.70 Stock Market Index 107.90 | Short-Term 4.50 4.90 5.90 3-Month Time CD Rate 2.76 | ---------------------------------------------------------------------------- REAL GROSS DOMESTIC PRODUCT FORECAST Actual Values, Last 4 Quarters Forecast Values, Next 4 Quarters Qtr 6 Qtr 7 Qtr 8 Qtr 9 Qtr 10 Qtr 11 Qtr 12 Qtr 13 Merica 99.09 100.10 100.00 101.70 103.17 102.45 104.28 106.06 Sereno 95.85 98.28 100.00 101.98 103.02 106.26 108.34 109.43 ---------------------------------------------------------------------------- EXCHANGE RATE FORECAST Sereno 6.00 6.00 6.00 6.00 5.97 6.10 6.03 5.83 ---------------------------------------------------------------------------- Inves- Stock Earn- Divi- tor Shares Bank Time Credit Co. Price ings dends ROI Issued Bonds Loans Cash CDs Rating 1 1.17 0.042 0.000 -16.9 6000 2000 0 3298 1000 2 2 1.05 0.006 0.000 -25.3 6000 2000 0 2852 0 2 3 1.06 0.006 0.000 -24.5 5700 2000 0 3602 0 2 4 1.04 -0.021 0.000 -26.4 6000 2000 1100 4097 1000 2 5 1.06 0.017 0.000 -24.9 6000 2000 0 2779 1000 2 ---------------------------------------------------------------------------- Income Income Income Sales Bonds Int. Net Fixed Total Total to to to to to Cover- Co. Income Assets Assets Equity Assets Equity Sales Assets Equity age 1 251 8594 15013 11928 1.7 2.1 7.7 21.8 16.8 12.1 2 34 9709 14832 11711 0.2 0.3 1.0 22.1 17.1 5.9 3 32 8594 14208 11245 0.2 0.3 1.1 20.1 17.8 5.3 4 -127 8594 15772 11548 -0.8 -1.1 -3.9 20.7 17.3 2.8 5 104 8594 14755 11781 0.7 0.9 4.8 14.8 17.0 7.3 ---------------------------------------------------------------------------- Key: Company 1 San Jose State University Company 2 Shantou University Company 3 CSU Sacramento Company 4 Cal Poly Pomona Company 5 CSU Long Beach World 3 QUARTERLY INDUSTRY REPORT, Page 2 02-06-2018 Year 3 Quarter 1 BUSINESS POLICY GAME, 7TH EDITION 07:14:36 F2 © 2016 by Richard V. Cotter, David J. Fritzsche and Simon Rodan ---------------------------------------------------------------------------- Sales Market ----Sales (in 000s)---- --------Product Price--------- Co. $000s Share Tot M1 M2 M3 S M1(M$) M2(M$) M3(M$) S(Ps) 1 3280 22.8 320 99 84 84 53 9.90 9.90 9.90 72 2 3280 22.9 321 94 88 86 53 9.85 9.80 9.85 73 3 2852 19.5 274 55 85 89 45 10.00 10.00 10.00 75 4 3268 22.4 314 99 81 83 51 10.00 10.00 10.00 75 5 2177 12.3 173 41 41 37 54 13.00 13.00 13.00 70 ---------------------------------------------------------------------------- Model Model New Plant Expansion AltmanZ Co. No. Avail Lines M1 M2 M3 S Year 1 1 1 0 0 0 0 0 2.23 2 1 2 1 0 0 0 4 2.15 3 1 2 0 0 0 0 0 2.16 4 1 2 2 0 0 0 0 2.06 5 1 2 0 0 0 0 0 2.18 ---------------------------------------------------------------------------- Q Product Position Map u Features M1 Features M2 Features M3 Features S a 1 2 3 1 2 3 1 2 3 1 2 3 l ----------------- ----------------- ----------------- ----------------- | | | | | | | | 3 | | | | | | | | | | | | | | | | ----------------- ----------------- ----------------- ----------------- |1,2,3| |1,2,3| |1,2,3| |1,2,3| 2 |4,5 | |4,5 | |4,5 | |4,5 | | | | | | | | | ----------------- ----------------- ----------------- ----------------- | | | | | | | | 1 | | | | | | | | | | | | | | | | ----------------- ----------------- ----------------- ----------------- ---------------------------------------------------------------------------- Key: Company 1 San Jose State University Company 2 Shantou University Company 3 CSU Sacramento Company 4 Cal Poly Pomona Company 5 CSU Long Beach