Putting the lesson before the test: Using simulation to analyze and develop competitive strategies

Military strategists have long used simulation to plan campaigns, and airlines have long used simulation to polish pilots' skills. Now managers are using simulation to understand and anticipate the dynamics of their competitive strategies. These simulations range from multimillion-dollar formal computer models to brief, informal war games in which teams of managers and consultants play the parts of rivals and customers. In this article, the authors discuss the value and uses of simulation to understand the dynamics of competition in their markets and to explore their competitive-strategy options. © 1999 John Wiley & Sons, Inc.