Spatial Oligopolies with Cooperative Distribution

The main objects here are Nash equilibria in spatial Cournot oligopolies when profits depend on coordinated distribution. Production is non-cooperative, but the subsequent transportation must be performed jointly to minimize costs. Cournot-Nash equilibria for this two-stage game with partial coalitional strategies are determined by means of a mathematical-based algorithm. A numerical illustration is presented.

[1]  Hanif D. Sherali,et al.  A mathematical programming approach for determining oligopolistic market equilibrium , 1982, Math. Program..

[2]  D. Newbery.  Privatization, Restructuring, and Regulation of Network Utilities , 2000 .

[3]  Hanif D. Sherali,et al.  A Game Theoretic-Mathematical Programming Analysis of Cooperative Phenomena in Oligopolistic Markets , 1986, Oper. Res..

[4]  Pradeep Dubey,et al.  Totally balanced games arising from controlled programming problems , 1984, Math. Program..

[5]  Anna Nagurney,et al.  Algorithms for oligopolistic market equilibrium problems , 1988 .

[6]  Gerhard J. Woeginger,et al.  Which matrices are immune against the transportation paradox? , 2003, Discret. Appl. Math..

[7]  Dov Samet,et al.  On the Core and Dual Set of Linear Programming Games , 1984, Math. Oper. Res..

[8]  Maria Sandsmark,et al.  Production Games under Uncertainty , 1999 .

[9]  Daniel Granot,et al.  A generalized linear production model: A unifying model , 1986, Math. Program..

[10]  Eitan Zemel,et al.  Totally Balanced Games and Games of Flow , 1982, Math. Oper. Res..

[11]  Sjur Didrik Flåm,et al.  Strategic behavior and partial cost sharing , 2003, Games Econ. Behav..

[12]  H. Scarf.  The Core of an N Person Game , 1967 .

[13]  Lloyd S. Shapley,et al.  On balanced sets and cores , 1967 .

[14]  Terry L. Friesz,et al.  STACKELBERG GAMES ON A NETWORK WITH COURNOT‐NASH OLIGOPOLISTIC COMPETITORS , 1991 .

[15]  Sjur Didrik Flåm,et al.  Sharing Nonconvex Costs , 2001, J. Glob. Optim..

[16]  Moshe Dror,et al.  Managing decentralized inventory and transshipment , 2011 .

[17]  L. Shapley,et al.  ON MARKET GAMES , 1969, Classics in Game Theory.

[18]  Martin Shubik.  Game Theory in the Social Sciences , 1982 .

[19]  Edythe S. Miller.  Privatization, Restructuring, and Regulation of Network Utilities , 2001 .

[20]  Stef Tijs,et al.  Characterization of the Owen Set of Linear Production Processes , 2000, Games Econ. Behav..

[21]  Guillermo Owen,et al.  On the core of linear production games , 1975, Math. Program..

[22]  Patrick T. Harker,et al.  Alternative Models of Spatial Competition , 1986, Oper. Res..

[23]  Eitan Zemel,et al.  Generalized Network Problems Yielding Totally Balanced Games , 1982, Oper. Res..