1906:
This is the year we change our strategy from small future investments in laying the foundation of a huge company in the next decades. Hopefully not too early.
Changes include:
1) Marketing budget of about $180.000 per year combined. All channels, all branches.
2) Lobby work is set to $110.000 per month (roughly 50%, locked).
3) Research is set from 0 in all four branches to 100%. This creates a huge financial hole as the expense per month is about $415.000.
To further manifest this strategy we also went all-in with out Chicago factory. The $13.500.000 project will see a 29-line factory with state of the art technology.
As we spent so much money we need to earn some more. This is right now done with expanding the portfolio. The growing Pickup-Truck market in North America is our next cash goal. We developed a new chassis big enoug for a Pickup and used the overhauled but still old engine and gearbox from our smaller cars. Actually the gearbox got licenced by several other manufacturers and is used widely. It'll arrive early next year.
For earning even more money we need to spent more money, too. Utilization of our old parts is nearly maxed out and there is no market for compact cars or micro cars right now. Market research showed the Sports car segment is severely underserverd. Our first try in engine development was a failure, as the engine was too big to fit into the current possible chassis. However, we learned a lot from that and took the flat 8 engine, size it down a bit and developed chassis and gearbox, too. All three products turned out well - at least with estimated figures - so we spent even more money for designs of landaulet and limousine. All three car models will not hit the market before the next 16 month. Development of them is a huge financial burden if done fast and we want to gather experience and keep our losses small.
Monthly Summary December 1906:
![[Image: 8gmcuqmx.png]](http://fs1.directupload.net/images/180810/temp/8gmcuqmx.png)
Current state of construction and development:
![[Image: lie6f2u3.png]](http://fs5.directupload.net/images/180810/temp/lie6f2u3.png)
Pension funding is now $5.000.000 and it sometimes makes slight profit.
This is the year we change our strategy from small future investments in laying the foundation of a huge company in the next decades. Hopefully not too early.
Changes include:
1) Marketing budget of about $180.000 per year combined. All channels, all branches.
2) Lobby work is set to $110.000 per month (roughly 50%, locked).
3) Research is set from 0 in all four branches to 100%. This creates a huge financial hole as the expense per month is about $415.000.
To further manifest this strategy we also went all-in with out Chicago factory. The $13.500.000 project will see a 29-line factory with state of the art technology.
As we spent so much money we need to earn some more. This is right now done with expanding the portfolio. The growing Pickup-Truck market in North America is our next cash goal. We developed a new chassis big enoug for a Pickup and used the overhauled but still old engine and gearbox from our smaller cars. Actually the gearbox got licenced by several other manufacturers and is used widely. It'll arrive early next year.
For earning even more money we need to spent more money, too. Utilization of our old parts is nearly maxed out and there is no market for compact cars or micro cars right now. Market research showed the Sports car segment is severely underserverd. Our first try in engine development was a failure, as the engine was too big to fit into the current possible chassis. However, we learned a lot from that and took the flat 8 engine, size it down a bit and developed chassis and gearbox, too. All three products turned out well - at least with estimated figures - so we spent even more money for designs of landaulet and limousine. All three car models will not hit the market before the next 16 month. Development of them is a huge financial burden if done fast and we want to gather experience and keep our losses small.
Monthly Summary December 1906:
![[Image: 8gmcuqmx.png]](http://fs1.directupload.net/images/180810/8gmcuqmx.png)
Current state of construction and development:
![[Image: lie6f2u3.png]](http://fs5.directupload.net/images/180810/lie6f2u3.png)
Pension funding is now $5.000.000 and it sometimes makes slight profit.