The traditional way of teaching strategic management at business schools is the case method. While it aims to provide a simulated environment for strategy formation, the case method has several limitations. Many of them can be overcome through the use of Management Flight Simulators (MFS) by combining computer simulation models with conventional case studies. While many existing MFS focus on specific industries, we developed an Industry Evolution Management Flight Simulator that captures the generic industrial structure with endogenous firm entry and exit. For effective teaching purposes, we then introduced staged game design, and tested both the MFS and supporting materials and pedagogy in strategic management classes at the MIT Sloan School of Management. We started with a version for a relatively simple competitive situation, represented by the salt industry, with pricing as the only decision variable. Later in the course we introduce a version for a more complex strategic setting, represented by the video game industry, where players make multiple decisions and where additional feedbacks are relevant, including network effects, complementary assets, and pricing in both the console and cartridge markets. Preliminary results are discussed.

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Date created

• 2006 July 23-2006 July 27

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• Document

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• Processing documentation available at: https://wiki.albany.edu/display/SCA/Processing+Ingested+Digital+Files

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• Creative Commons BY-NC-ND Attribution-NonCommercial-NoDerivs 4.0 International

  
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ITEM CONTEXT

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32937c7b43e3e015509bb71fd40d2054

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Part of

23d738ba88f8333bc39725f9cb5bd0b8

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f9377a3ac7b50b1fca5e04fb6d679ec2

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Collection

System Dynamic Society Records

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Collecting area

• This collection is part of the University Archives