THE GAME OF STORES: SIMULATING RETAIL SITE SELECTION AND PROFITABILITY

Abstract

ABSTRACT Retailers are faced with the challenge of how many stores to operate in a potential or an existing market and where those stores should be located. Various factors influence this decision-making. For instance, the customer behavior and their demographic characteristics, customer travel times, presence of competitors, costs involved, location profitability, etc. Literature in retailing points out various gravity laws that assist retailers to make the location choice decision. ‘Game of Stores” is a board game-based simulation designed for classroom teaching that incorporates the principles of Huffs Law to create a dynamic environment for participants. The gameplay is devised to mimic reality in a competitive setup and to provide participants with similar challenges faced by retailers in real-time. The simulation is intended to help participants comprehend, analyze, and apply the concepts related to retail store location decisions in a gamified environment and to test their analytical skills in optimizing retail location choice and profitability. The applied nature of the game makes it suitable for use in Retail Management courses for students specializing in Marketing.