The Benefit Game behind the Policy of "Home Appliances Going to the Countryside"

This paper analyzed the behavior of major relevant stakeholders¡agovernment, home appliances enterprises, rural dealers, farmers in the "Home Appliances Going to the Countryside". Established the following game models based on the game theory: the complete information dynamic game model between government and home appliances enterprises, the infinitely repeated game model between home appliances enterprises and farmers. The equilibrium results showed that the government was necessary to pre-investigate the credit of home appliance enterprises, the home appliances enterprises must provide high quality home appliances to the countryside in the long interests, otherwise would cause a lose-lose situation. In the end, the different proposals were put forward to the government and home appliances enterprises to achieve all relevant stakeholders win.