Total Enterprise Simulation Winners and Losers: A Preliminary Study


  • Alan L. Patz


Thirty industry studies have shown that total enterprise (TE) simulations have a built-in bias. That is, the dominant teams at the end of a competition will have established and maintained an early lead. This is the case for both undergraduates ((BBAs) and graduates (MBAs). The results reported here are the beginnings of an extended study that compares the performance results of first and last place teams in 18 industries and 160 teams. A well-known TE simulation was used in all cases with identical scoring procedures and market economies. Preliminary results indicate that pricing and production capacity decisions are not as important as strategic ones: product line, quality, service, brand image, overall low cost, market share leadership, superior value, and market coverage.