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Artificial Strategy Environment 1 An Artificial Environment for Simulating Corporate Strategy

The paper introduces an environment for agent-based simulation of corporate strategy. The environment consists of specifications for internal and external factors like cost or market structures that influence corporate strategy, as well as a framework for operational and strategic decisions made by the agents. The entire system is implemented in MATLAB and will be used in a first set of experiments to test the fit of diversification and core competence-based strategies to various types of environment.