STRATEGIC MANAGEMENT

Lemonade Stand Game

Lemonade stand game is a pc business game; it incorporates the basic economic and business
principle-based themes. Goal is to make as much money as possible, in a given time frame.
The person can control a business that consists of a lemonade stand, and he/she get to
manage all the associated aspects in their bid to earn more money. Purchasing raw material,
setting up the prices, quality control, customer satisfaction, etc., are some of the aspects that
have to manage.

Based on the weather conditions, player have to decide on how much material to keep in
stock, the price of drink, how to sell maximum lemonade to potential customers, how to
maintain quality, etc. Besides the weather, changes can be done to almost every aspect
mentioned above. In sometimes of the game, player can even change your selling price
depending on the time of the day.
Lemonade Stand Game strategy
• Player will be given USD 20 in the beginning, and he/she need to judiciously use this
amount to purchase raw materials. Do not purchase lots of ice, because if the person
cannot sell the required lemonade quantity, then the ice melts towards the end of the
day, resulting in loss. Also, do not buy too many lemons; if player sale is not high
enough, then there are chances of the lemons going bad. The same applies for sugar;
too much or too little is both bad for business

• Need to check the weather for the day, before buying any raw materials. Buy more
inventories on a hot day, and less on rainy days.

• The price that you charge per glass has a huge effect on the amount of glasses, which
you would be selling per day. Keep in mind the mind set of customers, and ensure that
your price is managed accordingly. Also, you need to consider the weather while
setting up the product prices

• Customer satisfaction is another important factor, which will help to boost business. If
people like your product, then they will spread a good word about it, and this will
surely work in your favour. Remember, a good product should be evenly priced. If
you overcharge, you will get less customers at your shop.

• Have a business sense of your own to make the profit go higher.

HOW THESE STRATEGIES WILL WORKS?
Inventory
Stock up on cups when the price is low. Keep lemons and sugar stocks fairly low as they can
go bad. Ice melts at the end of the every day, so buy ice only according to the daily needs.

Weather
Keep an eye on the forecast. This will help to estimate supplies you will need , how to
formulate the lemonade and how much to charge .

Pricing
On hotter days, customer will pay more .On colder days, lower your prices to attract
customer’s .You can adjust your price at any time during the day

Quality
On colder days ,add additional lemons and sugar to your to entice customers, and reduce ice
to save money .On hot days ,decrease your lemons and sugar to the default ,and increase ice
cubes.

Customers
Keep an eye on passing customers. Symbols or words appear over their heads indicating
whether they like or dislike your lemonade, or if they think your prices are fair .Always try to
please the customers.

BUSINESS SENSE
Have a business sense of your own to make the profit go higher. Business sense is keenness
and quickness in understanding and dealing with a "business situation" (risks and
opportunities)
.