Game theoretic approach to newsboy problem : nash, stackeleberg, cooperative games

Özsoy, Aysu Sultan
In this thesis, competitive and cooperative newsboy problems for two substitutable products are analyzed by using game theoretic concepts. The demands of the products are assumed to be dependent and normally distributed. Competition is handled for Nash and Stackelberg games. Nash and Stackelberg games are compared in terms of the order quantities and the expected profits. Cooperative newsboy problem is analyzed for the products having equal costs and revenues. The effect of demand correlation on the order quantities and the expected profits in all of the games is investigated through numerical experiments. Optimal solutions of the Nash, Stackelberg and the cooperative games are examined analytically when the demand correlation is 1.


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Citation Formats
A. S. Özsoy, “Game theoretic approach to newsboy problem : nash, stackeleberg, cooperative games,” M.S. - Master of Science, Middle East Technical University, 2005.