HGS together with TopSim has used a business simulation game for the used cars business at the annual summit of a German premium sports car manufacturer in China in September 2015.
In 2014 the number of used cars in China increased by 8.6% to 5.2 million units, while the turnover grew by 10.6% to RMB 291 billion, according to the “China Automotive Distribution Industry and Automotive Aftermarket Report”. It's clear that there is plenty of room for further growth. No wonder then that the second summit of a German premium sports car manufacturer is dedicated to the development of the used car business in China.
To the summit the manufacturer has invited investors and managers to answer the following questions, among others:
- How attractive is the used car business for us?
- What are the opportunities?
- What are the risks resulting from our chosen strategy?
- How must our strategy be adjusted?
- How can we increase the loyalty of our potential customers?
- What is the optimal purchasing and pricing strategy?
- What is the impact of the used car business on other departments at the dealership?
- Given this new market dynamic, what is the optimal, or at least most sensible, path of development?
For this professional event HGS has developed a striking and cutting edge concept for how to transmit challenging information and specifics to highly multitasking investors and general managers.
To make the market situation more accessible for the participants we have decided to cooperate with TopSim Germany, a leading brand in management education. The concept is that managers go through four financial years of dealer operations and then discuss their strategies. Simulating this scenario as a strategy game helps to answer the above-mentioned key questions.
“Participants recognize their own contribution in a realistic context”, says Gundula Schramm, managing director of HGS Concept. “Sometimes discussions may even get heated. The theory part is as short as possible so that the participants gain experience in a stimulating way.”
Reason enough for HGS’s customer in China to opt for this practice-oriented management game.
One of the unique features of the simulation technique is its playful character. However, it is not only “just a game”, but rather it allows the participants to bring their emotions and instincts into their actions and reactions, and to experience the consequences of their decisions in a very intense way.
The concept corresponds to the latest neuroscientific findings and shows how attractive experiential learning can be.