Using Stock Value as the Performance Measure in a Business Simulation Game


  • Lee Tangedahl


This paper proposes that the stock value may be used as the sole measure of student performance in a business simulation game. Note that for the course as a whole, assignments (e.g. papers or presentations) may provide additional grading criteria. A simple stock value model may be used and has certain advantages, but financial theory suggests a more complicated model, based on the present value of future cash flows should be used. It is suggested that students be provided with a planning model that enables them focus their planning in conjunction with the stock value model used in the simulation.