We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Nobody downloaded yet

Strategic management - Essay Example

Comments (0) Cite this document
Strategic Management Name: College: Course: Tutor: Date: Question one a) Yes, cooperation in a finitely repeated game can be sustained in a sub-game perfect Nash equilibrium, for instance, if the stage game has many Nash equilibria, if uncertainty about players’ preference exists, or if the number of times to be played is not common knowledge (Norman, 2011)…
Download full paperFile format: .doc, available for editing
Polish This Essay92% of users find it useful
Strategic management
Read TextPreview

Extract of sample
"Strategic management"

Download file to see previous pages This is because every finite extensive form game contains at least a sub-game perfect equilibrium. For example, by applying backward induction it can be proved that the strategy combination comprising of the Nash-equilibrium contours of all sub-games is apparently sub-game perfect. c) Yes, after iterated elimination of dominated strategies in two player games and only one strategy survives, then the strategy combination must be a Nash-equilibrium. This is because the strategies match up to rationalizable strategies. Indeed, no pure strategy that is persistently strongly dominated can comprise of a Nash-equilibrium. Non-recursively weakly dominated strategies can comprise of a Nash-equilibrium and so the iterated elimination may remove one or more Nash equilibria. It can then be shown that one Nash-equilibrium will survive the iterated elimination of weakly dominated strategies. Question two a) Extensive form of the game Rating profits on a scale of 100 for best, payoff for the incumbent are 100 if the entrant fails to enter, 50 if he enters and shares the market and 0 if he enters and the incumbent starts a price war. The entrant payoffs are 0 if he does not enter, 40 (profit – entry cost) if he enters and -10 if there is a price war. The game can be presented in an extensive form as illustrated below: War (-10, 0) Enter No (40, 50) No (0, 100) In the figure, the entrant’s choice is indicated at node 1 and the incumbent’s choice is indicated at node 2. The numbers at the right side indicates the payoffs with entrant’s payoff first. Therefore, the entrant will need to think strategically or to anticipate how the incumbent responds if he decides to enter. Normal form of the game In normal form of the game incumbent strategies are contingent strategies: If the entrant enters then accommodate and if he enters then initiate price war. The entrant’s strategies are enter and do not enter. The game in normal form is indicated below: Incumbent If the entrant enters, then accommodate: if the entrant does not enter, continue with the usual business If the entrant enters, then initiate prices war; if the entrant does not enter continues with the usual business. Entrant Enter 40, 50 -10, 0 Do not 0,100 0,100 b) Pure strategy Nash equilibrium Incumbent If the entrant enters, then accommodate: if the entrant does not enter, continue with the usual business If the entrant enters, then initiate prices war; if the entrant does not enter continues with the usual business. Entrant Enter 40, 50 -10, 0 Do not 0,100 0,100 Enter and accommodate is a pure-strategy Nash equilibrium. c) The sub-game perfect outcome is the Nash equilibrium in the simultaneous move game, which is (no entry, business as usual). Question three Due to Nash equilibrium, pricing strategies that appear to be super-competitive can in fact be anticompetitive. The market strategies for all players respond to the Nash equilibrium. This is best explained by an example. Suppose that the monopoly price for gaming consoles is $200. Now suppose firm A advertises that if a consumer buys a console from him at $200 and discovers that he/she can buy it cheaper at B, A will refund the full purchase price. Again suppose that B does the same thing. It can then be shown that it is Nash for both firms to charge $200. Question four Glaxo and EMI developed important innovations in the 70s, but succeeded ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
(“Strategic management Essay Example | Topics and Well Written Essays - 1500 words - 1”, n.d.)
Retrieved from https://studentshare.org/management/1395334-strategic-management
(Strategic Management Essay Example | Topics and Well Written Essays - 1500 Words - 1)
“Strategic Management Essay Example | Topics and Well Written Essays - 1500 Words - 1”, n.d. https://studentshare.org/management/1395334-strategic-management.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document
Strategic Management
This means that strategic management brings together the mission, objectives, and vision of a firm and develops policies and plans then allocates resolves to allocate resources to the set plans and policies in order to ensure their implementation (Wheelen & Hunger, 2011).
3 Pages(750 words)Essay
Strategic Management
Strategic Management Name: Institution: Strategic Management The success of any organization regardless of its affiliation depends on how it conducts its strategic management. This allows an organization to analyze all the key initiatives that the top management of the company undertakes on behalf of its key stakeholders.
4 Pages(1000 words)Essay
Strategic Management
The purpose of strategic management is to create new and different opportunities for the organisations to sustain in its usually competitive environment. In brief, the notion of strategic management is fundamentally described as the procedure of devising along with executing effective strategies with the intention of supporting an organisation to attain its expected business targets (Nag et al., 2007).
4 Pages(1000 words)Essay
Strategic management
Crisis management plan must be prepared keeping into consideration the overall safety of the strategic planning process. The aim of the strategic management in such needful situations is to enhance the organizational capacity in responding to the crisis and make strategic plans to effectively overcome from the identified obstacles (European Interagency Security Forum, “Crisis Management of Critical Incidents”).
15 Pages(3750 words)Essay
Strategic Management: Strategic Choices
Main products of the company are printers, personal computers, network management software, high end servers etc. Company is operating its business globally in several areas like printing, computing, digital imaging. Beside this, the company is also providing software and services.
4 Pages(1000 words)Case Study
Strategic Management
Strategic management in the public sector is a complex process since there are multiple stakeholders with varying needs and limited resources available. There are various approaches to strategic management in the public sector.
8 Pages(2000 words)Essay
Strategic management
In an article published in the Wall Street Journal on 7 May, 2009 and titled Arbitron, Looking To Make Strategic Investments, Takes Page From Cisco, Ty McMahan wrote about the recent decision that had recently been taken
2 Pages(500 words)Essay
Strategic Management
r changing surroundings, managers need to constantly analyse and decide on the actions that would increase the efficiency of a firm’s operations and enable it to survive the competition. This is where strategic management play a vital role in the organisation’s survival. The
10 Pages(2500 words)Essay
Strategic management
The secretary general stated that Qatar’s education sector was now ready to enter into a strategic partnership so that the institution
1 Pages(250 words)Essay
Strategic Management
Strategic management requires extensive planning in any organization since the company’s future relies on prior set goals and objectives. The planning
8 Pages(2000 words)Essay
Let us find you another Essay on topic Strategic management for FREE!
Contact us:
Contact Us Now
FREE Mobile Apps:
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us