This paper focuses on decision making related to the use of strategic thinking in dual sourcing. The general purpose is to present a novel approach to managing strategic moves by considering the suppliers' possible actions in terms of supply uncertainty and product substitutability by...

We try to show that the use of alternating decision making in an infinitely repeated prisoners' dilemma type game may enable sophisticated players to achieve perpetual cooperation starting from any initial position and without any prior communication, and that the ability of players to do so...

Outsourcing is currently being used as an important strategy for many companies in the USA to focus on the core competency, reduce cost and increase profit. We consider a company (buyer) outsourcing a part of her service. One of the main concerns of outsourcing is the quality of service. We use...

Since service production and consumption are inseparable, many service firms sell their capacity in advance. This paper examines the optimality and practice of advanced sale of service capacity under duopolistic competition. Using a game-theoretic approach, it attempts to explain why, despite...

This paper studies a horizontal fare-pricing competition between two airlines having a single flight leg. Two distinct scenarios are considered. First, the two airlines price competition for the pre-committed booking limits is analysed. The problem is studied under deterministic price sensitive...

In their recent work Thomas S. Schelling (2007, 2010), reiterating original arguments about game theory and its applications to social sciences. In particular, game theory helps to explore situations in which agents make decisions interdependent (strategic communication). Schelling's originality...

Consumer psychology provides enough evidence that consumer behavior is not just one side of our existence, but, as a matter of fact, it is a central dimension of our everyday lives, engaging us into changing and defining our identity, beliefs, attitudes and practices. In relation to this,...

This article reviews recent advances in economic theories of dictatorships and their lessons for the political stability and economic performance of dictatorships. It reflects on the general usefulness of economic theories of dictatorship, with an application to foreign relations.

Theory of redistribution systems is an application and at the same time extension of Game Theory. It deals with functioning of institutions, establishments, firms and others social systems, in that pay-offs are redistributed in contrast to achievement of individual players. The redistribution is...