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Question: A farmer (player 1) owns some land that he values at $100K. A speculator (player 2) feels that if she buys the land, she can subdivide it into lots and sell the lots for a total of $150K. A home developer (player 3) thinks that he can develop the land and build homes that he can sell. So the land to the developer is worth $160K.
(a) Find the characteristic function and the Shapley allocation.
(b) Compare the Shapley allocation with the nucleolus allocation.
You are to research an actual business examples and the impact of IT on that business. Important points
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Brown and gibson model in detail
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