Every order has to be fulfilled, either directly (should the players’ inventory be large enough) or later in subsequent rounds.
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Inventory and backlog incur cost: Each item in stock costs Rs500 per week, while each item on backlog costs Rs1000. Consequently, the primary aim of each subgroup is to keep their costs low.
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Hence, the optimal strategy for the players is to run their business with as little stock as possible without being forced to “move into backorder”.
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Players are not allowed to communicate. The only information they are allowed to exchange is the order amount; there is no transparency as to what stock levels or actual customer demand is; only the retailer knows the external demand.
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Also, if the bank reserve becomes nil, the game comes to an end.