In Pursuit of Stockholder Value: Reinforcing Core Concepts in a Business Strategy Simulation with a “Shadow” Stock Market Competition

Abstract

Computerized business simulations have become popular classroom tools because they give students a hands-on decision making experience in a realistic context. Previous research indicates that two decision making biases, risk tolerance and financial conservatism influenced the success of teams in simulated business competitions. An intervention strategy, the use of a supplemental shadow stock market, is suggested to provide support to at-risk students as well as to increase learning of key strategic concepts by all participants.