5 Reasons to Play a Game-Based Business Simulation

Simon Schmidli

Founder of Edutainity

human brain due to playing business simulation

The main reason for playing a business simulation game is to apply what has been learned in theory and take decisions in a virtual world. Simulations allow participants to study a particular market situation and act accordingly by taking strategic and operational decisions.

At edutainity, together with our game-based learning partner organization, we have developed a unique simulation game that goes a couple of steps further than a normal simulation and gives the learners a truly unique opportunity to learn about concepts and build softer skills in addition.

1. Learning by Doing

A simulation allows the participants to apply concepts learned in classrooms or through books to get a feel of how it is in the real world. Simulations are usually based on case-studies where participants need to make decisions and the computer calculates the result.

In contrast to those simulations, our simulation game is played live against competitors in a virtual world of reality competing for market share. Through that, participants constantly need to adapt to a new situation and like in the real world see the impact of their decisions instantly.

2. Risk-free environment

Taking decisions in the corporate world always has a risk involved which may lead to huge losses if the wrong decision is taken. A simulation game offers a virtual world of reality for participants to try out different things, make mistakes and learn from them.

3. Individual & Teamwork

In general, simulations are played in teams and decisions are taken together and submitted for the computer to calculate the results. In our unique business simulation game, each individual takes up a certain role in the organisation (as Head of a department: Marketing, Finance, HR, Operations, IT or International Business). As in real-life the person is responsible for his/her department but needs to align with other departments to succeed.

To give you an example; the Head of Marketing cannot succeed without a Budget, necessary resources in terms of employees, training, welfare, It infrastructure and products to advertise.The game simulates the interconnectedness of departments and lets participants negotiate within teams on which strategy to follow, how to allocate budgets and how to best work together to succeed.

4. Skill-building

Business simulations are based on skills such as market analysis, teamwork, strategic management, and operational knowledge. Students analyse a scenario and as a team comes up with their strategic and maybe some operational decisions.

In the game, participants need to do all that but also exhibit other skills such as critical thinking and analysis, analytical thinking, negotiating, complex problem-solving, reasoning, initiative and others. Participants, therefore, have a unique skill-building opportunity like no other which helps them in the future.

5. Live environment

In contrast to standard business simulations, the game is played live against competitors or the computer. The fact, that the game is played live means that participants need to constantly adapt to the competitors in the market. Demand is changing and so is the general environment. There might be a strike, a machine breaks down, a supplier is not able to supply, the competition launched a low-price strategy and suddenly captured more demand, and many more. Like in real-life, participants need to constantly adapt their strategies in order to be successful.

All in all, it is great fun to play a competition live in a classroom and see who can outperform others. Participants get engaged and learn much faster than through other means of education. Interested to know more and how the experience can be tailored to your needs? Reach out.

 

 

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