Applied Economics Education & Extension

an AAEA Journal

Agricultural and Applied Economics Association

Simulating Store Management and Competition in Food Retailing

Richard Volpe(a) and Jeremiah Danley(a)
(a)California Polytechnic University

JEL Codes: A22, D11, D15, L11, Q18
Keywords: consumer behavior, demand analysis, food retail, market structure, pricing strategy, simulation game

First Published Online: June 12, 2026

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Abstract

The paper describes a framework and game to simulate the operation of supermarkets in the contemporary US grocery landscape. The game can be incorporated into courses in agribusiness, management, economics, food marketing, and related fields. Students make decisions about products to stock, prices, inventory levels, and promotional activity. Simulated households make store decisions and purchase decisions, which determine sales and market share. Students calculate store financials and are encouraged to present their strategy, findings, performance, and outlook for the future. The code needed to run the game and other supporting materials are provided.

About the Authors: Ricky Volpe is a Professor of Agribusiness at Cal Poly, San Luis Obispo. He teaches and researches on topics related to food prices and the food supply chain. Jeremiah Danley graduated in 2026 with a B.S. in Agribusiness from Cal Poly, San Luis Obispo. Acknowledgments: The authors appreciate the support of Jay Noel, Tim Delbridge, and students enrolled in the Fall 2025 AGB404: Food Retail Management course at Cal Poly, San Luis Obispo. Conflicts of Interest: The authors have none to report. Human Subject Disclaimer: No human subjects were involved in this study.

Copyright is governed under Creative Commons CC BY-NC-SA

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