Design and implementation of a game-based activity to promote learning of game theory

Abstract

Game theory, an interdisciplinary field that explores interactions among entities in strategic scenarios, is paramount for understanding how individuals make decisions in interactive situations. This paper outlines the development and evaluation of a playful exercise to facilitate understanding fundamental concepts such as dominant and dominated strategies and Nash equilibrium, employing a 'design thinking' methodology. An empirical evaluation was conducted with 76 Industrial Engineering students from the Universidad Industrial de Santander, dividing them into four teams representing companies vying for customers. The teams assessed payoff matrices and made marketing decisions, utilizing a colored die to eliminate non-advantageous strategies. Findings indicate a significant increase in interest in game theory, with 86% of participants expressing a preference for this method compared to conventional classes. Furthermore, 81% desired to incorporate this activity into their regular courses, while 76% applied previous knowledge during the training. An average improvement of 17% in correct responses suggests that the playful exercise effectively facilitates the assimilation of key concepts in game theory among university students. This study underscores the potential of integrating active activities based on game theory to enrich the learning process in an academic context.