• 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