The Business Simulation Game

Enterprises – Factory

Production sector

Factory business model is not complicated:  you need to buy raw materials, which will be in the factory. The finished goods can be sold to other participants in the simulation. The product quality depends on the level of technology. Qualified staff is need In order for the factory to function. 

An example of a factory:

Factory: the nuances

As it was mentioned earlier that you can open a store during only one game turn, however, it takes several game turns to build a factory. The number of game turns depends on the size of the factory.

You will encounter new management modules – production and technology.

In order to produce something, first you need to purchase raw materials. The supply purchasing functions are the same as the ones in stores.

The manufacturing process takes one game turn. After the manufacturing process has finished, you can set the selling prices. Your production will be available for sale during the next game turn. In «Production» you can manage your finished goods: you are able not to sell your finished products at all (instead just store them in the warehouse), you can choose to sell to every participant or just the selected ones or you can sell your production only to your company.

Factories have to have qualified employees, equipment and supply.

Do not forget to pay attention to the equipment condition.

The quality of manufactured products depends on the technology level. (See «Technology» tab).

The equipment quality and the staff qualification requirements depend on the technology level.

The technology level can be upgraded by purchasing new technology or carrying out experiments in the laboratories.

When selecting the location of the factory, consider such factors as education level of the population, average city salary, and the location of the main buyers of your production.

Product quality:

The quality of finished goods depends on the quality of equipment and raw materials, the qualification level of the staff and technology level. We have already evaluated the effect of quality on selling potential: if you manufacture products of a high quality at the expenses lower than that of your competition, the selling potential of your production is very high. The technology level at your factory can be increased in the following ways: 

  • Purchasing a license of a certain technology level — it will be valid only for the factory, it has been purchased for. Normally, it is not that costly, but its functionality is limited only to one factory. 
  • Purchasing the technology — in this case the technology can be installed into all similar subdivisions in your company. Although it might cost a lot, it can be used in all your subdivisions at once. 

Carrying out research in your laboratory and using the newly researched technology in your enterprises.    You can also sell it to other participants.