Posts Tagged ‘IBAC’

2013Nov 13

IBAC Second Year Business Simulation

By SPAD Blog Contributor Noelle Kelly

14248b9f4ac0001From October 30th to November 1st, 2013 the second year commerce and SPAD students participated in a life-like business simulation sponsored by the Insurance Brokers Association of Canada (IBAC), which consisted of 9 SPAD teams, and 16 commerce teams of 4, 5, or 6 students. Each team acted as the board of directors, with one chairperson, and ran a golf course with 8 simulations (or years) over the three-day period. The 25 golf clubs were located in the same region, and they had to compete against one another for the largest share value.

The IBAC simulation started with each club deciding on the quality of the golf course (low, medium, or high), setting prices, setting advertising costs, and making investments on the golf course, restaurant and pro shop. Each course had an original budget and had to make decisions based on their strategy, and decide what to invest the money into. For each subsequent year, the clubs had to analyze the data from the previous years, decide whether to change prices, and make decisions on what investments, if any, to make into the course, restaurant, and pro shop. The investments were based on how much profit the company made in the previous year, as well as loans. The data that was analyzed included business statements, sales reports, statistics, and an external analysis of the market and economy, with each company having an option of purchasing a market study and analyzing the competitors as well.