The Business Management Laboratory [antikvár]

CHAPTER 1 THE LABORATORY SIMULATION ENVIRONMENT 1.1 INTRODUCTION Computer simulations and business games have become increasingly popular for several good reasons. In the first place, a business simulation allows the participants to make numerous decisions and to evaluate their effects without having to live with the real consequences of such decisions. This allows the decision maker an opportunity to experiment with different decision making strategies and to take risks which might be too dangerous in a real situation. Second, a relatively long series of decisions can be made and evaluated in a short real time period. This provides more rapid feedback, and that can enhance the learning process. Third, a business simulation prevents the participant from focusing the learning process on only one of the functional aspects, when true understanding of the management process requires the balancing of many functional demands. The participants are forced to deal simultaneously with numerous factors of a business --- finance, production, marketing, administration, etc. Fourth, a business simulation can serve as a vehicle for coordinating the presentation of information to the learner. Such concepts as break-even analysis, forecasting, expected value, and systems theory can be introduced or reintroduced as coordinated concepts rather than as isolated presentations. Finally, experience has shown that computer simulations and business games have a remarkable power to increase the level of the learner's motivation.