Throughout the simulation, the roles presented were all very realistic. The first day was very chaotic, and stockbrokers were incredibly busy with making transactions possible for individual investors, which made the game seem realistic. Individual investors were selling and buying within each other, and were starting rumors about specific stocks. One investor in specific began to start rumors about a stock going up in order, to get other investors to bid prices for the stock. The investors’ roles seemed the most realistic because they all wanted to increase their wealth by investing in the best stocks. The foundation investors’ roles were realistic because they would outweigh their options and accept the most profitable offers. Exchange accountants …show more content…
As the simulation progressed, my feelings toward my role as an individual investor did change. The first day I was not thrilled with the role of an investor because I began as a confused investor because I was unsure of what stocks would benefit me the most. However, the second day of the game I understood the concept of the game, so I loved the idea of being an investor because I had a huge money balance of 1,800,000 dollars. I invested and sold several stocks throughout the four days of the simulation. Each day I learned the benefits and disadvantages of being an individual investor. I learned that investing in risky high priced stocks made it hard for me to sell them later on, which led me to several losses. However, I had the advantage of being able to sell to other interested individual investors. Evidently, I started off the simulation dreading being an individual investor, but as the simulation progressed I grew to love my role because it allowed me to gain profit and be involved in the market …show more content…
The Exchange fluctuated because the market would adjust to the constant changes that the selling and buying of stocks would create. For instance, if investors wanted to buy more stocks than they wanted to sell them the price for that particular stock would rise. However, if investors decided to sell stocks instead of buying the prices would in return decline. Evidently, the Exchange fluctuates because of supply and demand.
9. I would definitely like to play this simulation again as a stockbroker. I would like to play again as a stockbroker because although they are unable to invest and gain profit they play a major role in making transactions happen for investors. Stockbrokers also were very involved in the simulation and went through the rush and tension of selling and buying stocks for their customers. Above all, I would want to be a stockbroker if I played the game again because without them transactions would not be
The stock price of a company is one way to gauge the relative health of the company. The stock market, which includes the buyers, sellers, and investors, is always looking for ways to measure one company against another. By using stock price, dividends, earning per share, and bond rating, outsiders are able to gauge the overall health of a company against another one. In this method of looking at the trends of these indicators, comparisons can be made between Team Andrews and Team Baldwin over the course of rounds 4-6 in the Capsim simulation.
Due to the small dip from last week, people believed their stock was in danger, and wanted to sell their shares while they could still gain profit, so when the banks began to suddenly start selling, everyone want to get what they could before it was too late. Back then, the only way to find out the value of stock was through a slow ticker tape machine that would receive numbers and print them
Technology, and the subsequent shift to program trading by computers, has been a major market shift. This has allowed trading volume to skyrocket. The Stock Market Crash of 1987, which saw the Dow plummet 507.99 points or, 22.61% on Oct. 19, 1987, was blamed on program trading that caused investors to rush for the exits in an extreme example of herd behavior. Currently, there has been speculation that flash traders, or investment shops that employ high frequency trading to buy and sell huge amounts of stocks, are creating unusually heavy market volatility (1).
My stepfather never considered that he might need to work on his state of mind and the psychology that underlies trading. He simply believed that studying chart patterns without any written notes or JPEG pictures was sufficient. He believed that the entire game of trading was learning how to read the charts, and therefore he had little use for techniques that would neutralize his fear of loss. He needed to create aha moments to turn on the light switch in his dark room.
In my freshman year, I won an internship with GF Securities, one of the first, full-service investment banks in China. By participating in several IPO roadshows for NEEQ (National Equity Exchange and Quotation) Listing in Shanghai and dealing with clients’ requests for option trading, I developed a thorough overview of practical capital rising procedures as well as the function of various financial instruments. Later, I sought a more globalised experience by joining the General Electric(GE). In the process of organising the new machine launching conference, I have fully utilised the cross-communication skill that helped the manager to reconcile the needs and expectations from different retailers. In this summer, I gained an opportunity to work within the Guangdong Internet Finance Association. It provided me with a valuable insight to the emerging internet finance industry and made me think prospectively toward the future business model of financial institutions. These highly diversified internships not only enriched my ability to work independently as well as in a team, building upon the criticism and implement ideas, and but also widened my horizon that inspired me to approach the problem from different perspective and reach a more objective
Business can be learned in many different ways. One of the best ways to learn how to run a business is through experience. Even if that experience is just a simulation, it helps to give new perspective and helps one see how a business might be run in actual life. The BizCafe simulation is one such tool that is useful for acquiring knowledge and experience of how a business is run in the real world, rather than just reading about it. This simulation required for a group of four or five people to run a simulated cafe. The team together had to make various decisions from how they wanted the cafe to be run to what kind and how much coffee to sell. My team and Express Espresso, overall did quite well and I learned a great deal from this experience.
In the negotiation for the Federated Science Fund I represented the Stockman Company. The meeting started with a caucus between Turbo and I which set the tone for the negotiation. In the five-minute caucus, we understood that we get the highest payoff by working together and decided to only form a deal with United if it benefited us. This was the main turning point in the negotiation as we returned to United with only high-ball offers: we opened with $220,000 each for Stockman and Turbo, and went only as low as $200,000 each, with $80,000 for United. United presented counter offers throughout, but all of them were below our $200,000 reservation point. Even though United continuously demanded a more inclusive deal, we saw no real benefit and made a deal by splitting $440,000 evenly.
Overall i finished in fourth place, which i am happy with. For a very long time i was in first place and was dominating everyone in the stock market. What really got me was how MBIA or MBI took a turn for the worse in the stock market, and ended up costing me $331.96 out of my profit. My ranking started in the top ten, i think during the first week i was placed 7th, and i worked my way up to first place. It did not really fluctuate during the course of the game until about 2 weeks until the game was over. That is when MBI took a turn for the worst and put me into fourth place. United States Steel Corp. is what got me the most money, i got 987.12 off of 216 stocks. MBIA was my least performing stock and cost me $331.96 in losses.
I am one of those guys that like to make the world a better place so I feel like if I used what I learned from business simulation I can help make the world a better place for sure. A major key to success for me is making sure the world is a better place so I feel like if I can open more businesses in the future I am changing the world because that will give people who don’t have a job something to do. The biggest thing that I learned from doing the module was managing your products for me that is a big key if you want to have a business because you have to make sure your business is heading the right direction. Like I said before what I can do with what I learned from this class is just to open up my own business because I feel like I can do that. I just need to be that one businessman that can change people life in so many ways by giving them jobs or just making sure they are taking care of. With what I learned in business simulation I can put it to use by opening up my own business even it is not a big business I want to open up something that I will put money in my pocket and also a business that will help me send to my family that living in Africa. They are depending on me so much so I feel like if I don’t have a business to support them let them down. That one of reason why I am taking business so I can just let my mother
In order to make the most logical and beneficial purchases, it was first important that I fully understood the terminology used within the stock market. Words such as blue chip stock, mutual fund, stock splits, and ticker symbol would all prove incredibly important for me to understand if I was to do well within the game. For example, the first stock I bought, Disney, taught me the definition of a ticker symbol - in Disney’s case, DIS. This enabled me to quickly identify other stocks by their ticker symbols as well, and I soon became familiar with the term. In addition, when I bought Coca-Cola, I soon learned its financial importance as a reliable blue-chip stock, as it and other stocks like it proved profitable for me. My class was also required to buy a mutual fund, and in doing so I learned how exactly a mutual fund differs from a stock, the positives and negatives of buying one, et cetera. In addition, my knowledge of the history that places like the NYSE contains proved incredibly important towards my success within the game. Because I learned about the NYSE’s foundation and the many people who worked to make it what it is today, I was able to fully appreciate the importance of the stock market as I moved through the simulation. This, in turn, helped me take the Stock Market Game seriously and not waste any of my money on stocks that I considered
The payoff for an organization is deep and wide. Mangers who are in ongoing ...
I became an enthusiast of finance ever since I was at high school. At the political economy class, my teacher asked us: if you have a million RMB, how would you use it? She then introduced us the concept of investment, and I was intrigued specifically by the stock. For the latter two years of my high school, I have been reading books and articles regarding the stock market in the U.S. and in China. As one of the outstanding students ranked top 1% in College Entrance Exam in Hainan Province, China, I was accepted by the City University of Hong Kong with a full scholarship. With the strong interest in finance, I chose quantitative finance and risk management as my major.
Most critical to this discussion is a clear understanding of what a financial manager is and does and how his or her role aids in helping to establish the valuation of a corporate entity in today's global financial market. Quite simply, a financial manager helps to measure a company's market value and its risk, while also helping to systematically reduce its costs and the time necessary to make informed decisions regarding objective driven operations. This is quite a demanding game plan for an individual and most often financial managers, in the corporate world, working in cooperation with a team of financial experts. Each member of that team perhaps having expertise in differing areas of activity, but each however, being no less expert in his or her respective area of endeavors on behalf of the corporation. The team is assembled under the direction of the officer known in the corporation as the Chief Financial Officer who today is becoming increasingly indispensable to the CEO who directs a modern model of action driven, bottom-line oriented corporate activity (Couto, Neilson, 2004).
The stock market is an essential part of a free-market economy, such as America’s. This is because it provides companies the capital they need in exchange for giving away small parts of ownership in their company to investors. The stock market works by letting different companies sell stocks to gain capital, meaning they sell shares of their company through an exchange system in order to make more money. Stocks represent a small amount of ownership in a company. The more stocks a person owns, the more ownership they have of that company. Stocks also represent shares in a company, which are equal parts in which the company’s capital is divided, entitling a shareholder to a portion of the company’s profits. Lastly, all of the buying and selling of stocks happens at an exchange. An exchange is a system or market in which stocks can be bought and sold within or between countries. All of these aspects together create the stock market.
Never have I ever climbed a mountain peak. As a child, I imagined myself conducting expeditions in deep-frozen pathways, leading amateur explorers to the top of the world, and instructing rookies in surviving harsh blizzards. Even though slightly altered, my childhood dream has been achieved. I led a team of fellow classmates, in my Strategic Management course, to the success summit of a financial competition. Over the course of a semester, I and my teammates were supposed to create and manage a company of the IT industry, in a computer-simulated environment, along with other four rival teams. I dealt with strategy and financial matters of our virtual enterprise, while my colleagues were working on marketing and manufacturing. During the four months of the exercise, I have experienced finance from various aspects: capital budgeting, through selecting favorable investment for upcoming quarters; debt management, by assessing the necessary amount and efficiency of loans; profitability analysis and dividend policy, which had been used to compile the company’s general performance index. Working in a multinational team, which included an American, a Norwegian and a Moldovan, strengthen my negotiations skills, as well as flexibility and cooperation. But above all, this experience intensified my passion for finance. Of course, a pleasant bonus was the fact that, in the end, our company’s financial performance was six times the performance of second-best team.