Having a paper fight in class can really shake things up. It also allows you to demonstrate some simple competitive dynamics principles in a very short exercise. I use this with evening, executive and BBA students — generally on the first day of class to shake things up and introduce the topic.
Learning Objectives:
- Industry evolution and performance targets.
- Strategic resources & competitive advantage
- Dynamic capabilities and hyper-competition
- Competitive dynamics and game theory
- Improvisation and strategy
- Shake things up!
Here are excepts from the abstract: Despite its ubiquity, many students struggle to understand and apply value chain concepts. JetFighter uses a complex manufacturing process (intricate paper planes) to enhance students’ value chain competencies. Teams are use value chain concepts to develop innovative strategies to fulfill customer requirements and outperform rivals. The exercise involves two production periods with a brief value chain lecture occurring after the first period. Given that teams typically lose money in the first round, their motivation to learn is enhanced as they are immediately provided an opportunity to apply this knowledge in the second period. Here are materials for the exercise:
The main difference is that groups get unequal resource endowments (one group gets tape and paper, while the rest get paper clips, elastic bands and paper) and are asked to build the highest paper tower. The results lead to a discussion of how superior resources (tape) can lead to better performance if they are organized properly. The takeaway is that students need to see if their focal firm has a tape-like resource. If so, they need to make it the cornerstone of their strategy. If the focal case firm lacks a tape-like resource, then it needs to be excellent at execution if it is to have any chance at having above average performance. Students love the exercise and it is a great way to teach students why they should look for VRIO resources when doing a case analysis. A related exercise, the 
Here is the setting: A pharmaceutical firm’s board must decide what to do with its best selling drug, Dekanor, in light of research that suggests that the drug may be causing serious harm. This reflects the ambiguity and choices Merck’s and Pfizer’s boards may have experienced in the years before they knew if their “blockbuster” drugs, Vioxx, Bextra and Celebrex, were harming patients. For example, the role play includes the impact of social media, pressure from rivals, and tactics sometimes used by pharmaceutical companies to discredit negative research studies. Board members are asked to choose between options including: 1) preemptively remove Dekanor from the market, 2) continue selling Dekanor but add additional product warnings and stop actively marketing the drug, or 3) continue to aggressively market the drug and fight to keep the FDA from banning it. The 14 roles include Jensen’s Chairperson and CEO, its five board members, and eight managers (click here for the 
Carpenter Strategy Toolbox 