Media economics. Final project

Project name: PMgamesTeacher: Germán A. Arango Forero.

Owners: Jorge A. Galvis González, Valeria González Garcia, Juan Pablo Grimaldos Camacho, Camila A. Torres Hernández.November 28, 2013. Chía, Colombia.

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IntroductionThe reason why we wanted to create this small but effective enterprise is that, nowadays, there’s so much small and medium companies emerging from the deep, that have no resources to put their adds on TV, we planed an easy way to make this companies get well known by offering them cheap publicity in an original way. Our purpose is to give those companies the best experience in publicity that they will ever have, in this document we will treat the crucial points to get an strange and funny advertising way via flash games, through our internet page.

This document reflex the characteristics and reasons why we have to be chosen as a principal advertising source, furthermore, we will show advantages of working with us, how our enterprise works, marketing process and methods of earning our revenues, by some graphics included the long tail curve, that mentions the products that we develop, describing better our business model, and how between our idea you can reach almost any target that you want.

This document will count as well, with a link to visit our website, and other to visit our demonstration game, that includes no publicity, but shows the ways that games could work to make your product or even your brand well known by people.

This document is developed starting from a media economics business idea, realized in “Universidad de la Sabana” college, the owner of this document is not allowed to copy or distribute this paper to anybody, it has not be used with external purposes, developers are not responsible for the use that outsiders can give to this document.

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Media economics

Project: PMGAMES

STORY

Our business allow us to have a special opportunity, beyond the exclusive service we give and the profits we or our clients could get, we can make a warm relationship with this small and medium enterprises. We could become in a comrade for them and they for us, because we provide them the opportunity to being noticed in a huge and full environment like the platform of the internet. Of course, in a beginning, we cannot get a considerable percentage of the net, but we choose a way for many people and many ages, a web page with online videogames for kids and adults

Based on nowadays small and médium entrerprises, we have decided to create an entrerprise based on flash games production, wich its major concerning point, is to help small and médium enterprises, to get cheap publicity who will be involved in our games, taking advantage of the contemporary era, who is builted over technological and digital contents.

Organization model:

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Brand: - Image: - LogoType of industry: Internet

Inbound Logistics

Operations Outbound logistics

MARKETING & SALES

Service

- Knowledge management.- Innovative production.- Knowledge of target.

- Product development: Web page and videogames

- Distributed via internet.-PCs, mobile devices.-Personal communication devices.

-Advertising-PYMES pays exclusive advertising.

- addue value-Satisfaction surveys.

INFRAESTRUCTURE COMPANY1. The Project will be funded in a beginning, with a bank loan. Later, PM Games will be support with advertising, and exclusive advertising.2. The idea was conceived to support the small and médiums enterpises.3. ubicación espacial

HUMAN RESOURCE MANAGMENT1. Fixed terms employees hired for the development of the website, game and server

Chief executive officer

Director of videogame development

Staff

Chief Operation Officer

Staff

Chief financial officer (CFO)

Staff

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maintenance.

TECNOLOGY DEVELOPMENT1. Looking for the latest technologies in the development of online videogames.2. Adapt to the challenges of the environment, like the constant growing of media and the incoming enterprises.3. Search for new preferences (software and hardware).

BUSINESS MODEL :

-Sources of Revenues: We will earn revenues by selling advertise spaces and games, the main idea is generate earnings by the advertising that will be shown on our page, this advertising space will have different advertises everytime that any person loggs in our page, taking advantage of some companies who wants easy and cheaper advertising options..

-Dual product market: Starting, in our business model there will be no dual product market, the idea is to involve this strategy when our Enterprise grows, in very different game, we will try to make attractive characters for the consumers, so then we can sell a tangible copy of every character, wich will include an original code to get in our page, with this code, the person will be able to introduce the code and get an exclusive game of that character.

LONG TAIL CURVE:

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CROSS ELASTICITY OF DEMAND:Firstable, we’re gonna start by setting low prices in our product due the principle of cross elasticity of demand,, who implies that a low price attracts more demand, and viceversa, this means that price and demand are inversely proportional.

We’re starting to create an enterprise, so the reason why is obiously to set a low Price at first, is because we want to earn and secure buyers, demand, and make sure that, no matter what, they’ll continue buying our product.

SETTING A PRICE“Price Is Biggest Indicator of Quality”- Professor Jagmohan Raju

-Market competition: Since we have no competition that is dedicated to publicizing the exact way we do it, we can take an advantage and put a high price, but we don´t because it is not, from a start, our goal, our goal is to give and receive support to small and mediums enterprises in growing.

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-Demand and offer: We expect to have a very good start but have a balanced demand and offer, to maintain in level our prices and not harm our clients with a sudden price rise.-Cost and utility: This is the main factor we have in count to make the right price. Lease, wage, Public services and utilities are a key factor.LEASE 1´000.000 millon.

WAGEChief executive officer 3´400.000Director Videogame development

1´800.000

Chief operation officer

1´800.000

Chief financial officer 1´800.000Staff 3 800.000 Per

employee.

11´600.000 millones.

PUBLIC SERVICESWater 200.000Internet 150.000Electric service 150.000Telephone line 150.000

650.000 mil pesos.

EQUIPMENT

Around six high end computers.

10´000.000 millones.

TOTAL 23´050.000 pesosPER MONTH: 13´050.000 pesos

FINAL PRICE13´050.000 PESOS / 150 CLIENTS (ENTERPRISES)= 87.000 Pesos per advertising spot.

BIG FORCES:

Technology:Regulation:Globalization:

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Bibliographyhttp://online.wsj.com/news/articles/SB20001424127887323741004578414832405412280