Importance of game theory to decisions, Data Structure & Algorithms

Assignment Help:

Question:

(a) Discuss the importance of game theory to decisions.
(b) Explain the following:
(i) saddle point,
(ii) two-person zero-sum game.

(c) Two leading ?rms, ABC Ltd and XYZ Ltd, have for years been selling shirts. The manager of ABC Ltd developed the following data for varying degrees of advertising:

(1) No advertising, medium advertising and heavy advertising for both ?rms will result in equal market share.

(2) ABC Ltd with no advertising will obtain 40% of the market with medium advertising by XYZ Ltd and 28% of the market with heavy advertising by XYZ Ltd.

(3) ABC Ltd using medium advertising will obtain 70% of the market with no advertising by XYZ Ltd and 45% of the market with heavy advertising by XYZ Ltd.

(4) ABC Ltd using heavy advertising will obtain 75% of the market with no advertising by XYZ Ltd and 52.5% of the market with medium advertising by XYZ Ltd.

(i) Draw the payoff matrix from the viewpoint of ABC Ltd, showing its market share under different combinations of strategies.

(ii) Obtain the value of the game and the strategies of ABC Ltd and XYZ Ltd in terms of advertising.

(iii) How would your answers to part (c)(ii) change if (4) in the question reads as follows:

(4) ABC Ltd using heavy advertising will obtain 75% of the market with no advertising by XYZ Ltd and 47.5% of the market with medium advertising by XYZ Ltd.


Related Discussions:- Importance of game theory to decisions

Graph with n vertices will absolutely have a parallel edge, A graph with n ...

A graph with n vertices will absolutely have a parallel edge or self loop if the total number of edges is greater than n-1

Define techniques of dry running of flowcharts, Explain the term- Dry runni...

Explain the term- Dry running of flowcharts  Dry running of flowcharts is essentially a technique to: Determine output for a known set of data to check it carries out th

Data structure queue, In this unit, we described about the data structure Q...

In this unit, we described about the data structure Queue. It had two ends. One is front from where the elements can be removed and the other is rear where the elements can be inse

Write stream analogues of list processing functions, (a) Write (delay ) as...

(a) Write (delay ) as a special form for (lambda () ) and (force ), as discussed in class. (b) Write (stream-cons x y) as a special form, as discussed in class. (c) Write

Insertion of element into a linked list, ALGORITHM (Insertion of element in...

ALGORITHM (Insertion of element into a linked list) Step 1 Begin the program Step 2 if the list is empty or any new element comes before the start (head) element, then add t

Dijkstras algorithm, Djikstra's algorithm (named after it is discovered by ...

Djikstra's algorithm (named after it is discovered by Dutch computer scientist E.W. Dijkstra) resolves the problem of finding the shortest path through a point in a graph (the sour

Determine yiq colour model, Determine YIQ Colour Model Whereas an RGB m...

Determine YIQ Colour Model Whereas an RGB monitor requires separate signals for the red, green, and blue components of an image, a television monitor uses a single composite si

Multiple stack in single dimensional array, Implement multiple stacks in a ...

Implement multiple stacks in a single dimensional array. Write algorithms for various stack operations for them.

Calculates partial sum of an integer, Now, consider a function that calcula...

Now, consider a function that calculates partial sum of an integer n. int psum(int n) { int i, partial_sum; partial_sum = 0;                                           /* L

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd