Business Lessons in World of Warcraft

2287 Words Oct 5th, 2008 10 Pages
Massive multiplayer online role playing games is one of the largest online collaboration environments that exists in the world today. Popular games like, World of Warcraft, see thousands of people around the world interact with one another. With this interaction the creation of virtual economies becomes apparent. This paper argues that players of World of Warcraft are taught basic business concepts and ideas which can translate into real life business lessons. The paper will firstly define the nature of World of Warcraft as a massive online game. It will then examine and explain a series of in-game business concepts and how they relate to the real world.
World of Warcraft (released in November 2004 by Blizzard Entertainment) is a fantasy
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Large corporations might choose to consolidate their IT system in one virtualized (and very expensive) server farm saving on hardware, support and maintenance costs over time.
Seasonality is described as systemic and a calendar related effect. In the real world, seasonal events affect the price and demand for particular products and/or services. For instance, Christmas is a time when retail stores experience a large influx of consumers. In the last month of 2005, an estimated 21.1 billion dollars ($500,000 per minute) was spent by Australians leading up to the Christmas period (Fleur Leyden 2005, Business). In the same way, seasonal events in World of Warcraft influence price and demand for particular products and/or services. During Christmas time the cities within World of Warcraft are decorated with trees and adornments. At the same time players are required to complete quests, in order to progress in the game, that are only available during this seasonal event. Candles are a major component in completing these quests. As demand increases so does the price of raw materials to make candles. By understanding seasonality and its affects, players learn that they can increase there profits by savings the raw materials leading up to the calendar event, and demand the highest price when the time is right.
Crafting in World of Warcraft is known as a