Comparative Analysis of Business Simulation Impact on Economics Learning Outcomes

Thesis Abstract

This study investigates the impact of business simulation exercises on economics learning outcomes among undergraduate students in higher education institutions, addressing the persistent challenge of effectively engaging students and enhancing their comprehension of complex economic concepts. The research aims to compare the effectiveness of business simulations with traditional lecture-based instruction in fostering critical thinking, problem-solving, and theoretical understanding in economics. The specific objectives include (1) assessing students’ learning achievement levels in courses employing business simulations versus traditional methods, (2) identifying students’ perceptions of the usefulness of business simulations, and (3) exploring the influence of demographic variables such as gender and academic year on learning outcomes associated with simulation-based instruction. The study adopts a quasi-experimental research design involving a comparative analysis between two parallel groups one exposed to business simulation interventions and the other receiving conventional lectures. The population comprises 400 undergraduate economics students enrolled at a comprehensive university, from which a stratified random sample of 200 students (100 in the experimental group and 100 in the control group) is selected to ensure representativeness across gender, academic level, and background. Data collection instruments include a standardized economics achievement test, validated via expert review and pilot testing, and a Likert-scale questionnaire measuring students’ perceptions of the instructional approach. The reliability of the instruments is established through Cronbach’s alpha coefficients exceeding 0.80, while content validity is confirmed by subject matter experts. Quantitative data are analyzed using descriptive statistics, t-tests for mean comparisons, and analysis of covariance (ANCOVA) to control for pre-test differences. Additionally, multiple regression analysis examines the influence of demographic variables on learning outcomes. To interpret qualitative responses regarding perceptions, thematic analysis grounded in the Communities of Practice framework is employed. The study also explores the applicability of the Experiential Learning Theory in explaining the observed effects of simulation-based instruction on cognitive and affective learning domains. It is anticipated that students in the business simulation group will demonstrate statistically significant higher scores in post-test assessments compared to their counterparts engaging in traditional instruction, indicating superior comprehension and application of economic principles. It is also expected that students perceive simulations as more engaging and practically relevant, which correlates positively with their academic performance. The findings aim to substantiate that experiential learning through simulations enhances not only knowledge acquisition but also the development of critical economic skills, thereby filling a gap in empirical evidence regarding the comparative efficacy of innovative teaching methodologies in economics education. The research contributes to the existing body of knowledge by providing rigorous comparative data on simulation-based versus conventional pedagogical approaches, employing robust analytical methods and a representative sample. It advances theoretical understanding by evaluating the interplay between experiential learning theories and instructional strategies, offering insights for curriculum designers and policymakers seeking to modernize economics education. In conclusion, the study recommends increased integration of business simulations into economics curricula to improve student engagement and learning outcomes. It advocates for further research involving longitudinal designs to assess long-term retention and transferable skills, as well as qualitative investigations to explore students’ experiential perspectives in depth. Overall, the findings underscore the imperative for adopting active learning strategies to respond to contemporary educational challenges in economics, with implications for pedagogical practices, curriculum development, and educational policy formulation.