The Strategy Simulation
Airline is designed for MBA and undergraduate courses in Strategic Management, Operations Strategy, and general strategy courses.
Jerald R. Smith
Jerald R. Smith received his Bachelor of Science in Commerce with a major in Management (1956), a Master of Business Administration (1969) and a Ph.D., (1978) primary concentration in Business Ethics and Corporate Social Responsibility from the University of Louisville.
In addition to above average teaching evaluations, Jerald has received the FAU Excellence in Teaching Award (1998), and the Outstanding Teaching Award – FAU Executive MBA Program (1996). Dr. Smith has authored or co-authored articles appearing in the International Journal of Organizational Analysis, Journal of Strategic Marketing, and the Journal of International Marketing.
Peggy A. Golden
Dr. Golden received her B.S. degree in Sociology from the Illinois Institute of Technology in 1966, and her M.B.A. from the University of Louisville in 1984. In 1988 she earned her Ph.D. in Business Administration at the University of Kentucky. Dr. Golden is Director of the MSIB (Master of Science in International Business) and the Virtual MBA Programs. Under her leadership the Virtual MBA Program has been ranked twice as one of the top 25 distance learning MBA programs in the country by U.S. News & World Report.
She is the creator, with Dr. Jerald Smith, Emeritus Faculty, of a number of successful business simulations in the areas of general management, strategic management, labor relations, human resources, global business, marketing, and entrepreneurship. Dr. Golden has published in a number of journals including the Journal of Management, Strategic Marketing Journal, Entrepreneurship: Theory & Practice, Journal of Teaching in International Business, Marketing Education Review, Psychological Reports, the International Journal of Organizational Analysis, the Journal of Strategic Marketing, and the Journal of International Marketing. Her primary areas of research interest are in diversification and performance, and the antecedents to performance.
Michael Deighan is a co-author on the new web-based editions of Airline, Entrepreneur, and HRManagement. His expertise, insight, and creativity proved invaluable and made it possible to convert these models to their current web-based versions. Michael joined Interpretive Simulations in 1989 as lead software developer, and is now Chief Technology Officer. He is co-author on a number of Interpretive simulations: PharmaSim, AutoSim, BizCafe, StratSimMarketing, StratSimManagement, StratSimChina, ServiceSim, CountryManager, and MarketShare. In addition to developing software, he has been teaching computer programming classes at Piedmont Virginia Community College, in Charlottesville, Virginia, since 1990. Michael received his B.A. in German and Economics from Washington and Lee University, and an M.A. in German from the University of Virginia.
At a Glance
Two or more teams of students go head-to-head in direct competition, competing in the same industry as separate companies.
- Business Strategy
- Strategic Management
- Operations or Service Strategy
- Overall Strategy: Corporate positioning, routes to pursue, fleet acquisitions, potential entry into cargo business.
- Marketing: Pricing of tickets, advertising, promotion, number of salespersons, promotional fares in each market served, type of cabin (food) service, and market research studies.
- Operations Management: Scheduling of aircraft and number of trips in each market, maintenance level, fuel forecasting/pricing, quality programs budget.
- Human Resource Development: Wages paid, bonus or other incentive plans, training and development.
- Financial: Lease or buy new aircraft, capital acquisition through equity or borrowed funds (short- or long-term), cash management through the issuing of CDs, dividends.
- Asset Management: Equipment acquisition and disposal. Firms may choose between seven different configurations and sizes of aircraft (actual manufacturer's specifications are given).
- Behavioral elements presented in the form of up to 14 mini-cases or incidents designed to encourage class discussion on different business and management topics.