Dynamic simulation of the supply chain for a short life cycle product—Lessons from the Tamagotchi case

Supply chain phenomena such as the bullwhip effect and boom and bust have been widely studied. However, their interaction with other factors has not been elaborated. We use scenario-based dynamic simulations to study the short product life cycle case, exemplified by TamagotchiTM, which was the first of the virtual pet toys. Our model has three components, market, retail and factory. To simulate the supply chain dynamics, all parts consist of scenarios based on the TamagotchiTM case and are integrated into a dynamic model. Our model should be helpful to decision makers and planners faced with similar short life cycle product introductions.