Business simulation is a training method that uses interactive scenarios to mimic real-world business situations. Participants make decisions in a controlled environment, allowing them to experience the consequences of their choices without the risks associated with actual business operations. This approach helps individuals develop critical thinking, strategic planning, and problem-solving skills. These simulations can cover various aspects of business, including finance, marketing, and operations. By engaging in team-based exercises or computer-based simulations, participants can learn how different functions interact and impact overall performance. This hands-on experience is valuable for both students and professionals seeking to enhance their business acumen.