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Business simulation games,
/ref> also known as tycoon games or economic simulation games,

/ref> are video games that focus on the management of
economic An economy is an area of the Production (economics), production, Distribution (economics), distribution and trade, as well as Consumption (economics), consumption of Goods (economics), goods and Service (economics), services. In general, it is ...
processes, usually in the form of a
business Business is the practice of making one's living or making money by producing or Trade, buying and selling Product (business), products (such as goods and Service (economics), services). It is also "any activity or enterprise entered into for ...
. Pure business simulations have been described as
construction and management simulation Construction and management simulation (CMS), sometimes also called management sim or building sim, is a subgenre of simulation game in which players build, expand or manage fictional communities or projects with limited resources. Strategy vide ...
s without a construction element, and can thus be called simulations.
Micromanagement Micromanagement is a management style characterized by behaviors such as an excessive focus on observing and controlling subordinates and an obsession with details. Micromanagement generally has a negative connotation, suggesting a lack of fr ...
is often emphasized in these kinds of games. They are essentially numeric but try to hold the player's attention by using creative graphics. The interest in these games lies in accurate simulation of real-world events using algorithms, as well as the close tying of players' actions to expected or plausible consequences and outcomes. An important facet of economic simulations is the
emergence In philosophy, systems theory, science, and art, emergence occurs when a complex entity has properties or behaviors that its parts do not have on their own, and emerge only when they interact in a wider whole. Emergence plays a central rol ...
of artificial systems, gameplay and structures. There are many games in this genre that have been designed around numerous different enterprises and different simulations. ''
Theme Park An amusement park is a park that features various attractions, such as rides and games, and events for entertainment purposes. A theme park is a type of amusement park that bases its structures and attractions around a central theme, often fea ...
'' can be called a business simulation because the goal of the game is to attract customers and make profits; the game also involves a building aspect that makes it a
construction and management simulation Construction and management simulation (CMS), sometimes also called management sim or building sim, is a subgenre of simulation game in which players build, expand or manage fictional communities or projects with limited resources. Strategy vide ...
. This genre also includes many of the "tycoon" games such as '' Railroad Tycoon'' and '' Transport Tycoon''. Another similar example of a business simulation (that models a startup business) is "SimVenture Classic". Trevor Chan is a notable developer of business simulation games, having developed the 1995 game ''
Capitalism Capitalism is an economic system based on the private ownership of the means of production and their use for the purpose of obtaining profit. This socioeconomic system has developed historically through several stages and is defined by ...
'', which has been described as the "best business simulation game". A sequel, entitled '' Capitalism II'', was released in 2001. An expanded version of ''Capitalism II'', called ''Capitalism Lab'', was released in 2012 and continues to be updated regularly with new features and improvements. Active development of Internet technologies and the growth of the Internet audience in recent years gave a powerful impetus to the development of the industry of online games, and in particular, online business simulations. There are many varieties of online business simulations – browser-based and downloadable, single-player and multiplayer, and real-time and turn-based. Some online simulations are aimed primarily at the leisure market while others have real world applications in training, education and modelling.


Real-world applications

Because
business simulation Business simulation or corporate simulation is business simulations used for training, education or analysis. It can be scenario-based or numeric-based. Most business simulations are used for business acumen training and development. Learning ...
s simulate real-world systems, they are often used in management, marketing,
economics Economics () is a behavioral science that studies the Production (economics), production, distribution (economics), distribution, and Consumption (economics), consumption of goods and services. Economics focuses on the behaviour and interac ...
and hospitality education.Online Business Simulations
/ref> Some benefits of business simulations are that they permit students to experience and test themselves in situations before encountering them in real life, they permit students to experiment and test hypotheses, and that subjects seem more real to them than when taught passively from the blackboard. They are also used extensively in the professional world to train workers in the financial industries,
hospitality Hospitality is the relationship of a host towards a guest, wherein the host receives the guest with some amount of goodwill and welcome. This includes the reception and entertainment of guests, visitors, or strangers. Louis de Jaucourt, Louis, ...
and management, and to study
economic model An economic model is a theoretical construct representing economic processes by a set of variables and a set of logical and/or quantitative relationships between them. The economic model is a simplified, often mathematical, framework designed ...
s, with some simulations having in excess of 10,000 variables. ABSEL, an association of professionals, exists for the sole purpose of promoting their use, and economic simulations have even been used in experiments, such as those done by
Donald Broadbent Donald Eric (D. E.) Broadbent CBE, FRS (Birmingham, 6 May 1926 – 10 April 1993) was an influential experimental psychologist from the United Kingdom. His career and research bridged the gap between the pre-World War II approach of Sir Freder ...
on learning and cognition that revealed how people often have an aptitude for mastering systems without necessarily comprehending the underlying principles. Other games are used to study the
consumer behavior Consumer behaviour is the study of individuals, groups, or organisations and all activities associated with the purchase, use and disposal of goods and services. It encompasses how the consumer's emotions, attitudes, and preferences affe ...
.


History

''
The Sumerian Game ''The Sumerian Game'' is an early text-based strategy video game of land and resource management. It was developed as part of a joint research project between the Board of Cooperative Educational Services of Westchester County, New York and IBM ...
'' (1964), a text-based early mainframe game designed by Mabel Addis, based on the ancient
Sumer Sumer () is the earliest known civilization, located in the historical region of southern Mesopotamia (now south-central Iraq), emerging during the Chalcolithic and Early Bronze Age, early Bronze Ages between the sixth and fifth millennium BC. ...
ian city-state of
Lagash Lagash (; cuneiform: LAGAŠKI; Sumerian language, Sumerian: ''Lagaš'') was an ancient city-state located northwest of the junction of the Euphrates and Tigris rivers and east of Uruk, about east of the modern town of Al-Shatrah, Iraq. Lagash ( ...
, was the first economic simulation game. An early economic sim by
Danielle Bunten Berry Danielle Bunten Berry (February 19, 1949 – July 3, 1998), formerly known as Dan Bunten, was an American game designer and programmer, known for the 1983 game '' M.U.L.E.'', one of the first influential multiplayer video games, and 1984's '' ...
, titled '' M.U.L.E.'' and released in 1983, foreshadowed events that would transpire later in video gaming history, especially in the
massively multiplayer online game A massively multiplayer online game (MMOG or more commonly MMO) is an online video game with a large number of players to interact in the same online game world. MMOs usually feature a huge, persistent world, persistent open world, although t ...
market, with regard to player cooperation and simulated economies. The game was
Electronic Arts Electronic Arts Inc. (EA) is an American video game company headquartered in Redwood City, California. Founded in May 1982 by former Apple Inc., Apple employee Trip Hawkins, the company was a pioneer of the early home computer game industry ...
' most highly awarded game, despite selling only 30,000 copies. That same year,
Epyx Epyx, Inc. was a video game developer and video game publisher active in the late 1970s and 1980s. The company was founded in 1978 as Automated Simulations by Jim Connelley and Jon Freeman, publishing a series of tactical combat games. The Epyx ...
released the business sim '' Oil Barons''.http://www.mobygames.com/game/oil-barons MobyGames. "Oil Barons," (retrieved on January 25th, 2009).


See also

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Business game Business game (also called business simulation game) refers to simulation games that are used as an educational tool for teaching business. Business games may be carried out for various business training such as: general management, finance, orga ...
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Serious game A serious game or applied game is a game designed for a primary purpose other than pure entertainment. The "serious" adjective is generally prepended to refer to video games used by industries like defense, education, scientific exploration, he ...
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Simulations and games in economics education A simulation game is "a game that contains a mixture of skill, chance, and strategy to simulate an aspect of reality, such as a stock exchange". Similarly, Finnish author Virpi Ruohomäki states that "a simulation game combines the features of ...
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Training simulation In business, training simulation (also known as Simulation-based training) is a virtual medium through which various types of skills can be acquired. Training simulations can be used in a variety of genres; however they are most commonly used in c ...


References

{{DEFAULTSORT:Business Simulation Game Video game genres