A student team is responsible for managing Firm M in hypothetical MARKSTRAT industry Europa. They began the

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Question:

A student team is responsible for managing Firm "M" in hypothetical MARKSTRAT industry "Europa." They began the MARKSTRAT simulation with a similar (but not identical) scenario to the one used in our class: a five-firm industry in which all five firms start with the same two Sonite products (the same as every other team), the same 20% market share and stock price index of 1,000. Firm M's initial long-term strategy had a number of components:
(1) to be the pioneer in the Vodite market (which they thought would grow rapidly and generate huge profits);
(2) to develop five Sonite brands uniquely customized to each of the 5 Sonite segments;
(3) to be a cost-leader (the lowest cost producer). After 4 decision periods, things are not going as planned. Firm M's Sonite market share has shrunk to 8%, its net contribution has decreased, and its stock price index has dropped below 700. Firm M has not yet modified its initial two brands, MODE and MOUSE, and the new brand it hoped would capture the Shoppers segment, MOSH, was a big failure and has an inventory of 300,000 units. Luckily, Firm M still has the minimum budget of $8 million to maintain its planned advertising campaign and continue boosting brand awareness. Based on your experience with MARKSTRAT and knowledge of marketing
strategy, please answer the following:

QUESTION:
Given your knowledge of marketing strategy in general, discuss the soundness of Firm M's initial strategy: Is it a good strategy that can succeed, or is it a poor strategy that is likely to fail?

What is good or bad about it? If you were managing Firm M beginning in Period 1, how would you change this strategy to increase the firm's chances for success?
Please explain.