Immersive Learning in Business Education: The Impact of Metaverse Technology

ABSTRACT Metaverse technology, supported by advances in Virtual Reality, Augmented Reality, Mixed Reality and Extended Reality, offers new possibilities for immersive business education. However, existing research remains fragmented across individual technologies, educational contexts and learning outcomes, providing limited explanation of how the distinctive affordances of the Metaverse can be translated into theoretically grounded instructional design for business education. Through a structured review of the literature and theoretical analysis, this study examines how Metaverse‐based environments can support student engagement, practical skill development, business decision‐making and cross‐cultural collaboration. It integrates Constructivist Learning Theory, Experiential Learning Theory and Cognitive Load Theory to explain how learners construct knowledge through immersive participation, develop capabilities through experience and reflection, and avoid cognitive overload in complex virtual environments. The study also identifies major implementation challenges, including technological costs, hardware accessibility, privacy and security risks, educator readiness, and cross‐cultural adaptability. The analysis indicates that the educational value of the Metaverse lies not in virtual simulation alone, but in combining immersion, embodied participation, real‐time interaction, iterative feedback and cognitively manageable learning design to create authentic and reflective business learning experiences.