DocumentCode
3455914
Title
Stackelberg duopoly with demand uncertainty
Author
Pinto, Alberto A. ; Ferreira, Fernanda A. ; Ferreira, Flávio
Author_Institution
Fac. de Cienc., Univ. do Porto, Porto
fYear
2006
fDate
20-22 Aug. 2006
Firstpage
1
Lastpage
5
Abstract
We consider a symmetric Stackelberg model in which there is asymmetric demand information owned by first and second movers. We analyse the advantages of leadership and flexibility, and prove that when the leading firm faces demand uncertainty, but the follower does not, the first mover does not necessarily have advantage over the second mover. Moreover, we show that the advantage of one firm over the other depends upon the demand fluctuation and also upon the degree of substitutability of the products.
Keywords
Bayes methods; commerce; econometrics; game theory; microeconomics; uncertain systems; Bayesian game; asymmetric demand uncertainty; demand fluctuation; leadership; product substitutability; symmetric Stackelberg duopoly model; Bayesian methods; Costs; Fluctuations; Nash equilibrium; Production; Random variables; Timing; Uncertainty;
fLanguage
English
Publisher
ieee
Conference_Titel
Computational Cybernetics, 2006. ICCC 2006. IEEE International Conference on
Conference_Location
Budapest
Print_ISBN
1-4244-0071-6
Electronic_ISBN
1-4244-0072-4
Type
conf
DOI
10.1109/ICCCYB.2006.305710
Filename
4097671
Link To Document