IDEAS home Printed from https://ideas.repec.org/a/eee/iburev/v22y2013i2p480-491.html
   My bibliography  Save this article

International Business Research and Game Theory: Looking beyond the Prisoner's Dilemma

Author

Listed:
  • Ott, Ursula F.

Abstract

This article outlines the un-mined potential of Game Theory for International Business (IB) research. Game Theory has been only rarely used in International Business – particularly, in comparison to transaction cost economics and the resource based view. Although its applications to International Business problems do exist, there is considerably more potential for its refinements to be related to topics of uncertainty and dynamics in strategic interactions in International Business. There is more to Game Theory than the Prisoner's Dilemma.

Suggested Citation

  • Ott, Ursula F., 2013. "International Business Research and Game Theory: Looking beyond the Prisoner's Dilemma," International Business Review, Elsevier, vol. 22(2), pages 480-491.
    • Handle: RePEc:eee:iburev:v:22:y:2013:i:2:p:480-491
    DOI: 10.1016/j.ibusrev.2012.07.004
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0969593112000960
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ibusrev.2012.07.004?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Jonathan Levin, 2003. "Relational Incentive Contracts," American Economic Review, American Economic Association, vol. 93(3), pages 835-857, June.
    2. Stigler, George J., 2011. "Economics of Information," Ekonomicheskaya Politika / Economic Policy, Russian Presidential Academy of National Economy and Public Administration, vol. 5, pages 35-49.
    3. Georges Siotis, 1999. "Foreign Direct Investment Strategies and Firms' Capabilities," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 8(2), pages 251-270, June.
    4. T Agmon, 2003. "Who gets what: the MNE, the national state and the distributional effects of globalization," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 34(5), pages 416-427, September.
    5. Pankaj Ghemawat, 1997. "Games Businesses Play: Cases and Models," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262071827, December.
    6. W. Brian Arthur, 1994. "Inductive Reasoning, Bounded Rationality and the Bar Problem," Working Papers 94-03-014, Santa Fe Institute.
    7. Bengt Holmstrom, 1979. "Moral Hazard and Observability," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 74-91, Spring.
    8. Francesca Sanna-Randaccio & Reinhilde Veugelers, 2007. "Multinational knowledge spillovers with decentralised R&D: a game-theoretic approach," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 38(1), pages 47-63, January.
    9. Nash, John, 1950. "The Bargaining Problem," Econometrica, Econometric Society, vol. 18(2), pages 155-162, April.
    10. , J. & ,, 2006. "Coordination failure in repeated games with almost-public monitoring," Theoretical Economics, Econometric Society, vol. 1(3), pages 311-340, September.
    11. Richard P. Rumelt & Dan Schendel & David J. Teece, 1991. "Strategic management and economics," Strategic Management Journal, Wiley Blackwell, vol. 12(S2), pages 5-29, December.
    12. Edward M Graham, 1998. "Market Structure and the Multinational Enterprise: A Game-theoretic Approach1," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 29(1), pages 67-83, March.
    13. Arthur, W Brian, 1994. "Inductive Reasoning and Bounded Rationality," American Economic Review, American Economic Association, vol. 84(2), pages 406-411, May.
    14. Peter J Buckley, 2002. "Is the International Business Research Agenda Running Out of Steam?," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 33(2), pages 365-373, June.
    15. Garth Saloner, 1991. "Modeling, game theory, and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 12(S2), pages 119-136, December.
    16. Piccione, Michele, 2002. "The Repeated Prisoner's Dilemma with Imperfect Private Monitoring," Journal of Economic Theory, Elsevier, vol. 102(1), pages 70-83, January.
    17. Yan Zhang & Nandini Rajagopalan, 2002. "Inter-partner Credible Threat in International Joint Ventures: An Infinitely Repeated Prisoner's Dilemma Model," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 33(3), pages 457-478, September.
    18. Ursula F. Ott, 2006. "International Joint Ventures," Palgrave Macmillan Books, Palgrave Macmillan, number 978-0-230-62546-4.
    19. Rubinstein, Ariel, 1991. "Comments on the Interpretation of Game Theory," Econometrica, Econometric Society, vol. 59(4), pages 909-924, July.
    20. J. A. Mirrlees, 1971. "An Exploration in the Theory of Optimum Income Taxation," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 38(2), pages 175-208.
    21. James Andreoni & William Harbaugh & Lise Vesterlund, 2003. "The Carrot or the Stick: Rewards, Punishments, and Cooperation," American Economic Review, American Economic Association, vol. 93(3), pages 893-902, June.
    22. Gerd Gigerenzer & Reinhard Selten (ed.), 2002. "Bounded Rationality: The Adaptive Toolbox," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262571641, December.
    23. Bhaskar, V. & Obara, Ichiro, 2002. "Belief-Based Equilibria in the Repeated Prisoners' Dilemma with Private Monitoring," Journal of Economic Theory, Elsevier, vol. 102(1), pages 40-69, January.
    24. Dirk Akkermans & Anne-Wil Harzing & Arjen Witteloostuijn, 2010. "Cultural Accommodation and Language Priming," Management International Review, Springer, vol. 50(5), pages 559-583, October.
    25. William Vickrey, 1961. "Counterspeculation, Auctions, And Competitive Sealed Tenders," Journal of Finance, American Finance Association, vol. 16(1), pages 8-37, March.
    26. Colin F. Camerer, 1991. "Does strategy research need game theory?," Strategic Management Journal, Wiley Blackwell, vol. 12(S2), pages 137-152, December.
    27. Bresnahan, Timothy F & Schmalensee, Richard, 1987. "The Empirical Renaissance in Industrial Economics: An Overview," Journal of Industrial Economics, Wiley Blackwell, vol. 35(4), pages 371-378, June.
    28. Guesnerie, Roger & Laffont, Jean-Jacques, 1984. "A complete solution to a class of principal-agent problems with an application to the control of a self-managed firm," Journal of Public Economics, Elsevier, vol. 25(3), pages 329-369, December.
    29. Gersbach, Hans & Schmutzler, Armin, 1999. "External spillovers, internal spillovers and the geography of production and innovation," Regional Science and Urban Economics, Elsevier, vol. 29(6), pages 679-696, November.
    30. Michael Spence, 1973. "Job Market Signaling," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 87(3), pages 355-374.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ursula F Ott & Pervez N Ghauri, 2019. "Brexit negotiations: From negotiation space to agreement zones," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(1), pages 137-149, February.
    2. Taotao Chen & Afonso Fleury & Maria Tereza Fleury & Xiao Chen, 2020. "Government, MNEs and Industry Development: A Perspective of Game Theory," International Journal of Business and Economics, School of Management Development, Feng Chia University, Taichung, Taiwan, vol. 19(1), pages 1-26, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rami S. Al-Gharaibeh & Mostafa Z. Ali, 2022. "Knowledge Sharing Framework: a Game-Theoretic Approach," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 13(1), pages 332-366, March.
    2. Etro, Federico, 2017. "Research in economics and game theory. A 70th anniversary," Research in Economics, Elsevier, vol. 71(1), pages 1-7.
    3. , H. & ,, 2016. "Approximate efficiency in repeated games with side-payments and correlated signals," Theoretical Economics, Econometric Society, vol. 11(1), January.
    4. Andrew W. Bausch, 2014. "Evolving intergroup cooperation," Computational and Mathematical Organization Theory, Springer, vol. 20(4), pages 369-393, December.
    5. Oliver Hart & John Moore, 2004. "Agreeing Now to Agree Later: Contracts that Rule Out but do not Rule In," Edinburgh School of Economics Discussion Paper Series 109, Edinburgh School of Economics, University of Edinburgh.
    6. Stoughton, Neal M. & Zechner, Josef, 2007. "Optimal capital allocation using RAROC(TM) and EVA(R)," Journal of Financial Intermediation, Elsevier, vol. 16(3), pages 312-342, July.
    7. repec:cte:werepe:we081207 is not listed on IDEAS
    8. Gossner, Olivier & Hörner, Johannes, 2010. "When is the lowest equilibrium payoff in a repeated game equal to the minmax payoff?," Journal of Economic Theory, Elsevier, vol. 145(1), pages 63-84, January.
    9. Yamamoto, Yuichi, 2012. "Characterizing belief-free review-strategy equilibrium payoffs under conditional independence," Journal of Economic Theory, Elsevier, vol. 147(5), pages 1998-2027.
    10. Dirk Bergemann & Alessandro Pavan, 2015. "Introduction to JET Symposium Issue on "Dynamic Contracts and Mechanism Design"," Cowles Foundation Discussion Papers 2016, Cowles Foundation for Research in Economics, Yale University.
    11. Yamamoto, Yuichi, 2009. "A limit characterization of belief-free equilibrium payoffs in repeated games," Journal of Economic Theory, Elsevier, vol. 144(2), pages 802-824, March.
    12. Hoppe, Eva I. & Schmitz, Patrick W., 2015. "Do sellers offer menus of contracts to separate buyer types? An experimental test of adverse selection theory," Games and Economic Behavior, Elsevier, vol. 89(C), pages 17-33.
    13. Panle Jia Barwick & Yanyan Liu & Eleonora Patacchini & Qi Wu, 2023. "Information, Mobile Communication, and Referral Effects," American Economic Review, American Economic Association, vol. 113(5), pages 1170-1207, May.
    14. Mitridati, Lesia & Kazempour, Jalal & Pinson, Pierre, 2021. "Design and game-Theoretic analysis of community-Based market mechanisms in heat and electricity systems," Omega, Elsevier, vol. 99(C).
    15. Lupton, Sylvie, 2006. "Il était une fois la qualité," MPRA Paper 5, University Library of Munich, Germany.
    16. Marco Battaglini & Stephen Coate, 2008. "A Dynamic Theory of Public Spending, Taxation, and Debt," American Economic Review, American Economic Association, vol. 98(1), pages 201-236, March.
    17. Jehiel, Philippe & Samuelson, Larry, 2023. "The analogical foundations of cooperation," Journal of Economic Theory, Elsevier, vol. 208(C).
    18. Riedl, Anna & Vervaeke, John, 2022. "Rationality and Relevance Realization," OSF Preprints vymwu, Center for Open Science.
    19. Edward P. Lazear, 1986. "Incentive Contracts," NBER Working Papers 1917, National Bureau of Economic Research, Inc.
    20. Myerson, Roger, 2001. "Learning Game Theory from John Harsanyi," Games and Economic Behavior, Elsevier, vol. 36(1), pages 20-25, July.
    21. Andersson, Tommy, 2004. "Essays on Nonlinear Pricing and Welfare," MPRA Paper 59446, University Library of Munich, Germany.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:iburev:v:22:y:2013:i:2:p:480-491. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/133/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.