THE k-PROPORTIONAL τ-VALUE: EXTENDING COOPERATIVE SOLUTIONS IN BIG BOSS GAMES

2025-10-25
Ozcan, Ismail
Weber, Gerhard Wilhelm
. In this study, we introduce the k-proportional tau-value, a novel generalization of the tau-value for cooperative games, achieved by modifying the minimal right vector with a proportionality factor, k. We derive this solution concept specifically for big boss games, where a dominant player significantly influences coalition outcomes while others depend on their participation. The k-proportional tau-value is shown to consistently produce core allocations in big boss games, with the parameter k enabling flexible adjustments to payoff distributions. We apply this framework to a real-world case study, modeling Amazon's internal collaboration for an AI-driven personalized shopping recommendation system, using data from Amazon's annual report to estimate coalition values and compute payoff distributions. This approach provides a robust tool for analyzing cooperative settings with hierarchical structures, applicable to contexts such as production, management, inventory, warehousing, storage, and information markets.
JOURNAL OF INDUSTRIAL AND MANAGEMENT OPTIMIZATION
Citation Formats
I. Ozcan and G. W. Weber, “THE k-PROPORTIONAL τ-VALUE: EXTENDING COOPERATIVE SOLUTIONS IN BIG BOSS GAMES,” JOURNAL OF INDUSTRIAL AND MANAGEMENT OPTIMIZATION, pp. 0–0, 2025, Accessed: 00, 2025. [Online]. Available: https://hdl.handle.net/11511/117094.