Blog Post 2

ROUND 3 AND ROUND 4
(Reflective Blog 2)
In the immersive world of Phone Ventures, my team and I have encountered exciting challenges
while operating a mobile phone manufacturing company. In this Round 3 & 4, we have
positioned ourselves as the 9th overall and 2nd in the orange category (Fig 1). Our success stems
from an effective differentiation strategy centered on product leadership. We have experienced
rapid expansion by balancing competitive pricing with building strong customer relationships.
Figure 1: Ranking
Profit
In previous years, Phoenix Mobiles faced the challenge of insufficient sales turnover to cover
overhead expenses, which risked our sustainable growth (Fig 2). Our initial pricing strategy,
aimed at providing quality products at affordable prices, formally gave our competitors an edge
in the market.
To overcome this, in 2025 and 2026 (Fig 3), we undertook extensive market research and
development initiatives. This enabled us to uncover previously unmet customer needs and
capture valuable market insights. As a result, we strategically shifted our focus to prioritize
customer intimacy and product quality.
SALES TURNOVER
500000000
450000000
400000000
350000000
300000000
250000000
200000000
150000000
100000000
50000000
0
2023 2024 2025 2026
Turnover Series2
Figure 2: Sales Turnover
PROFIT
180000000
160000000
140000000
120000000
100000000
80000000
60000000
40000000
20000000
0
2023 2024 2025 2026
Profit Year
Figure 3: Profit
We experienced a rise in market share in the price segment, while simultaneously observing an
increase in net profit margin. This situation indicates that our competitors in the price segment
have been gaining an advantage over us. To address this challenge, we have proactively invested
in R&D as well as market research to gain a deeper understanding of the market dynamics.
Market Share
25%
20%
15%
10%
5%
0%
2023 2024 2025 2026
Figure 4: Market Share
Net profit margin

40%
35%
30%
25%
20%
15%
10%
5%
0%
2023 2024 2025 2026
Figure 5: Net profit margin

Despite setting conservative targets, we have not only achieved them successfully but also
surpassed the available points indicated in Fig 6. Our consistent track record of achieving the
highest annual profit reflects our unwavering commitment to long-term objectives. To sustain
our competitive advantage, we will conduct a comprehensive analysis of our competitors'
strategies to gain deeper insights into their approaches. This analysis will help us identify
potential areas for improvement and stay ahead of market trends.
Figure 6: Score card

Strategy Making Progress
After the results and outcomes, we made the strategic move to enter the France market.
Recognizing the potential and importance of this market, we focused on customer intimacy and
the quality we should sell. We thoroughly evaluated key considerations such as the cost of doing
business, local competition, and the availability of skilled personnel. These factors helped us
make informed decisions and mitigate potential risks.
In the France market, we experienced a significant demand of 107,378 units. This success can be
attributed to several factors, including our ability to maintain a healthy stock of products while
our competitors faced shortages. As a result, customers turned to us to fulfill their needs, driving
our sales figures higher.
While our team has been working well together and most decisions have been reached through
agreement, we must guard against groupthink. It is crucial to ensure that all members of the
group actively engage in critical analysis and thoroughly investigate their respective areas of
responsibility.
Figure 7: Warnings
Figure 8: Inventory Warning

Instead of adopting a just-in-time strategy, we chose a more conservative approach to managing
our inventory. This decision proved advantageous as we were able to avoid lost sales due to
insufficient stock. This accomplishment underscores the significance of effective inventory
management and the need to remain adaptable to market dynamics. By striking the right balance
and staying responsive to changing customer demands, we can maximize sales opportunities and
ensure a seamless customer experience.
Figure 9: Inventory
Moving Forward
When analyzing the overall results, it is identified that we have not reach the targets as scheduled
and therefore by moving forward we will pay more attention on price, quality and the inventory
levels to reach the market demand that will ultimately drive us towards profits and a sustainable
business. Our results show that the company is more successful in the customer intimacy market
than the quality market. We have decided to increase our promotional effort in this segment to
ensure we retain market share, but there is a danger we are straddling. To improve reliability, we
will double our R&D investment.

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ROUND 3 AND ROUND 4

Figure 2: Sales Turnover

Figure 4: Market Share

Net profit margin

Figure 5: Net profit margin

Figure 6: Score card

Figure 8: Inventory Warning

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