decisions regarding air fares and routes, and overcame its start-up issues..
Round two of the simulation NWA tried to find its place in the new market as an LCC.
NWA employed new business strategies in round two, resulting in a positive result benefiting the
airline in terms of net income, stock prices, quality, and cumulative net income. NWA
dropped/increased
its net income to
$???
in round two, a
??% increase/decrease
from round one,
yet still
??% over/under
the industry average. NWA
increased/decreased
its stock price with a
$
???
margin, to $
????
in round two,
??
% on top of the industry average of $
???
. NWA had a
slight
increase/decrease
in both quality and reliability. Cumulative net income of NWA is $
????
in the end of round two.
In round three of the simulation was challenging for NWA. Our competitors began to
employ a business and marketing strategy that benefitted them with a large margin of increase in
net incomes and stock prices while NWA’s strategies held the airline back and NWA’s net income
was $
???
in round three. The stock price for NWA at the end of round three was
$???
. In round
three, quality for NWA
increased/dropped
to
??
from
??
in the previous round. Reliability had a
slight
increase/decrease
from
??
to
??
. $
??????
was the ending cumulative net income for NWA
at the end of round three.

4
Round four of the simulation is the stage NWA felt its competitors being aggressive in the
market, feeling the impact to our revenue and income. NWA netted a net income of $
????
at the
end of round four. NWA ended round four with a stock price of $
????
. Quality remained the
same for the airline while reliability had a slight drop. NWA yielded a cumulative net income of
$
????
at the end of round four, NWA was among one of the eight airlines that had
lost/made
at
the end of round four.
Round five was a difficult for NWA. This is when other airlines made huge strides in the
industry and it negatively affected NWA, resulting in
????????????
. NWA recorded
?????
in
stock prices and a
loss/gain
in terms of net income. Marketing strategies and business strategies
we used in the first four rounds of simulation
either benefitted/not
NWA and resulted in a
drop/rise
of revenues. NWA recorded a net income of $
????
. Our stock prices
increased/decreased
to $
????
. Quality and reliability
remained/not
the same for the airline.
Although with several
negative/positive
impacts hitting the airline, NWA still managed a net
income totaling $
?????
.
The final round six of the simulation for NWA did not sustain to the end of the
simulation. NWA recorded
increase/decrease
in performance of the airline along with huge
climbs/dives
in different performance measures. NWA resulted in a $
????
in net income, a
??
%
increase/decrease
from round five. Stock prices of NWA
fell/rose
to $
????
, the
worst/best
standing since NWA’s operation. NWA
dropped/rose
approximately
??
% in its stock prices


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- Fall '16
- Marketing, Revenue, Low-cost carrier, NWA