We are currently in the process of updating the simulation interface and as part of this process, the MikesBikes Dog will be replaced with a new way of giving students a quick indication of their firm’s health. As they say, some good things need to end for better things to begin. As we bid farewell … Continue reading The MikesBikes Dog has now Retired
Joe Powell from Des Moines Area Community College (DMACC) managed to land the #1 spot in the MikesBikes Introduction Hall of Fame! Joe took the Introduction to Business course taught by Professor Josh Daines over at DMACC. He’s a 41 year old student and a father of 4 returning for a degree in Business Administration. … Continue reading Interview with the Top Hall of Fame Student: Joe Powell
Buying Plant Capacity Plant can be purchased or sold each period in multiples of 10 SCUs. Each 10 SCU of plant costs $1,600 to buy and any new plant takes one period to be commissioned and become productive. Selling Plant Capacity Plant is depreciated in the annual accounts using the diminishing value method, at a … Continue reading Buying and Selling Plant Capacity in MikesBikes Advanced
While all industries have best practices, they are especially prevalent in IT given that so much of the business revolves around data and business processes. Best practices formally represent tested and proven techniques in the form of procedural documentation. In contrast, undocumented procedures are often misleading because stated parameters are not necessarily true or accurate. … Continue reading Best Practice in Experiential Learning by Frank Voehl
Awareness refers to the degree of knowledge that customers have about a product in the market. This is knowledge not only that the product exists, but also information about benefits, quality, price, design, and style; in particular as compared to its competitors. In MikesBikes, your product’s awareness is a factor of both your Product Advertising … Continue reading Question of the Week: What does the Awareness Rating mean and how do you influence it?
In MikesBikes, funding large investment options such as purchasing additional plant capacity and development projects may require additional capital. Raising Debt or Equity are ways companies can raise additional funds to finance these large projects or investments. In deciding whether to increase Debt, issue Shares or a combination of both; companies should assess their current … Continue reading External Funding Options in MikesBikes: Debt or Equity?
Here are some reasons why Shareholder Value is the main metric in MikesBikes: There are arguments for and against any metric you might choose. However, if there is a single metric on which students are measured, Shareholder Value is better for grading in most courses. This metric is simple to understand, capture and reward both financial … Continue reading Why is Shareholder Value the Main Metric in MikesBikes?
“Success does not consist in never making mistakes, but in never making the same one a second time.” – George Bernard Three of the most common mistakes we see MikesBikes Advanced users make are: Misunderstanding the Importance of Reaching the Right Customers Failed Development Projects Excessive Stock on Hand Mistake#1: Misunderstanding the Importance of Reaching … Continue reading Don’t Make These Mistakes in the MikesBikes Advanced Business Simulation
An increasingly popular way of measuring the financial performance of a firm is by looking at the Economic Value Created (often called EVA*) over a specified time span. See the Financial Reports section of the All Reports Menu for the firm’s current Economic Value Created report. In essence, this measure views the business as an … Continue reading What is Economic Value Created (EVA)?
If you accidentally launched a product and wish to abandon this in the same period, you can do so before the rollover. To do this: Go to the Products menu. Then click on the Product that you wish to abandon. On the right-hand menu, click on the Abandon button. You can launch this product again … Continue reading Question of the Week: Can we abandon a recently launched product?