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Simulation Business Games in the Research of Marketing Managers’ Decision Making Process

Author

Listed:
  • Marcin Awdziej

    (Kozminski University)

  • Jolanta Tkaczyk

    (Kozminski University)

Abstract

Wierenga (2011) argues that simulation business games are suitable research method to develop knowledge of how marketing managers make their decisions. This area of research in marketing is still underdeveloped. The quality of these decisions is single most important factor determining how successful marketing management of a company would be. Marketing decision making process and its results are determined with vast number of factors, such as consumer behaviour, competitive reactions, state of the economy or relationships with intermediaries. The interrelationships between these factors are complex and not easy to understand, which implies high levels of risk and uncertainty of any decision to be made. Even if marketing managers have access to information and understand necessary relationships between the key market factors, the final decision is always made by a marketing manager, who must identify the central problem, make appropriate analysis within limited timeframe, formulate strategy and propose its implementation. However, little is still known what leads to good or bad decisions, and our understanding of the underlying processes is very limited. Better understanding of how marketing managers make their decisions is crucial to develop appropriate support tools and systems. Complex cognitive processes are very difficult to be researched with traditional empirical methods, such as surveys or interviews. Simulation business games allow observation and measurement of decision makers in “known environment”, which is controllable and complex enough to emulate real life decision making process. Dickinson et al. (2004) argue that simulation business games not only allow investigation of complex phenomena, but also study of their development in different timeframes, as they recreate realistic conditions on emotionally involving experimental setting. The aim of this paper is therefore to provide an in – depth, critical analysis of possibilities and limitations of simulation business games as research method to investigate decision making process of marketing managers. The concept, limitations and potential of simulation business games are identified in this article. Selected proprietary simulation business games are compared to identify their potential and applicability to conduct experimental research of how marketing managers make long and short term decisions. Simulation business games, although criticised for limited mundane realism and validity, are useful research instruments, allowing investigation of complex decision making processes.

Suggested Citation

  • Marcin Awdziej & Jolanta Tkaczyk, 2016. "Simulation Business Games in the Research of Marketing Managers’ Decision Making Process," International Conference on Marketing and Business Development Journal, The Bucharest University of Economic Studies, vol. 2(1), pages 82-90, July.
  • Handle: RePEc:aes:icmbdj:v:2:y:2016:i:1:p:82-90
    as

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    References listed on IDEAS

    as
    1. Leeflang, P.S.H. & Wittink, Dick R., 2000. "Building models for marketing decisions: past, present and future," Research Report 00F20, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
    2. Matthias Benz & Stephan Meier, 2008. "Do people behave in experiments as in the field?—evidence from donations," Experimental Economics, Springer;Economic Science Association, vol. 11(3), pages 268-281, September.
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    4. repec:dgr:rugsom:00f20 is not listed on IDEAS
    5. Sterman, John D., 1989. "Misperceptions of feedback in dynamic decision making," Organizational Behavior and Human Decision Processes, Elsevier, vol. 43(3), pages 301-335, June.
    6. Charles R. Schwenk, 1982. "Why sacrifice rigour for relevance? A proposal for combining laboratory and field research in strategic management," Strategic Management Journal, Wiley Blackwell, vol. 3(3), pages 213-225, July.
    7. Wierenga, Berend, 2011. "Managerial decision making in marketing: The next research frontier," International Journal of Research in Marketing, Elsevier, vol. 28(2), pages 89-101.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    simulation business games; marketing decisions; decision making process;
    All these keywords.

    JEL classification:

    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing

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