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Biform Games

Author

Listed:
  • Adam Brandenburger

    (Stern School of Business, New York University, 44 West Fourth Street, New York, New York 10012)

  • Harborne Stuart

    (Graduate School of Business, Columbia University, 3022 Broadway, New York, New York 10027)

Abstract

Both noncooperative and cooperative game theory have been applied to business strategy. We propose a hybrid noncooperative-cooperative game model, which we call a biform game. This is designed to formalize the notion of business strategy as making moves to try to shape the competitive environment in a favorable way. (The noncooperative component of a biform game models the strategic moves. The cooperative component models the resulting competitive environment.) We give biform models of various well-known business strategies. We prove general results on when a business strategy, modelled as a biform game, will be efficient.

Suggested Citation

  • Adam Brandenburger & Harborne Stuart, 2007. "Biform Games," Management Science, INFORMS, vol. 53(4), pages 537-549, April.
    • Handle: RePEc:inm:ormnsc:v:53:y:2007:i:4:p:537-549
    DOI: 10.1287/mnsc.1060.0591
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    References listed on IDEAS

    as
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