What is strategy simulation?
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>Computer simulation and classical strategic wargaming (human-based simulation) aim to optimise strategy development and assessment.
Computer simulations cover the development and use of computer-based market models and simulations in developing and assessing competitive strategies in highly competitive industries. These provide a targeted evaluation of the options for action whilst focusing on various strategic aspects, for example in the following situations:
- Deriving value-optimizing reactions to the entry of new competitors in a market, competitor mergers and designing suitable market entry strategies
- Developing pricing strategies including potential reactions from competitors and customers
- Assessing capacity investments in terms of implications on the market dynamic
- Assessing and planning the market launch of new technologies
- Deriving strategic implications and developing responses to jumps in demand, modified product characteristics or the availability of substitutes.
In classical wargames (human-based simulation) we support companies in assessing the opportunities and threats of new strategic challenges. In general these wargames take place during one-day management workshops on specific strategic challenges after intensive preparation to understand the market dynamic. Each of the main players/competitors is played by a group of participants who receive specific tasks. Another group (market team) represents the market reaction. This is how specific recommendations are generated.