ABSTRACT

Supersaver Stores Fred Murphy Plc is negotiating with two companies for the construction of a large store on an excellent shopping site in a residential suburb of Manchester. The traffic volume on the Stockport road makes turning into the site hazardous, and the planning authorities have expressed their concerns about the likely disruption threatened by this development. Supersaver Stores' property division is negotiating with two final-round bidders: Sir Fred Murphy Plc and Tightrain Fee Management Ltd. In the simulation, Sir Fred Murphy Plc is best on price but worst on completion and Tightrain is best on completion but worst on price. The Supersaver Stores' team must not only decide on what is most important for them, but also consider penalties for late completion and budget overruns. All three teams are set up to know something of the reputations of the bidders.