Mike Shor: Game Theory and Business Strategy

GAME THEORY
and BUSINESS STRATEGY

All lectures, course materials, and information for the course are available by using the menu at left.

For each lecture, you will find the lecture notes, assignments, and related links and resources. Most links open in a new window.

For the experimental games and discussion boards, access the Blackboard Website through the Owen Intranet

LECTURE 1
What is Game Theory?

Lecture Notes

Administratrivia

Some short articles:
The Economist: It's only a game
Time Magazine Bittersweet Honors

LECTURE 2
Understanding the Rules

Lecture Notes

Understanding Common Knowledge
A snippet from the movie The Princess Bride
The script

Why there can never be a surprise quiz

LECTURE 3
Being dominant / Being dominated

Lecture Notes

How to find equilibria in a game:
View in HTML or MS Word
format

LECTURE 4
Looking forward - Reasoning back

Lecture Notes

Work through this example:
Game Theory applied to oligopolies

LECTURE 5
The sensibility of being unpredictable

Lecture Notes

Understanding mixed strategy equilibria:
An example from American Football
A short article on Soccer (real football)

Game 5 is not on Blackboard, but is available here.

LECTURE 6
Cooperation: agreeing to agree

Lecture Notes

An article about Axelrod's simulation and tit-for-tat in nature
EETimes article about tit-for-tat and Bill Gates

Looking deeper at the material:
A discussion of factors affecting sustainability of cooperation

No game for Tuesday! (Woo-hoo!)

LECTURES 7 and 8
Commitment and Strategic Moves

Lecture Notes

Third party contracts: hostages in Mario Puzo's The Godfather Examples of burning money in TV ads
Commitment and the Doomsday Device in Dr. Strangelove
AP/CNN Article on "irrational" nuclear policy

Looking deeper at the material: Vaporware
Is vapoware a credible commitment?
C-Net article on vaporware

Student slides presented in class:
Group 1 Group 2

LECTURES 9 and 10
Information

Lecture Notes

Student slides presented in class:

LECTURE 11
Bargaining

Lecture Notes

Abhinay Muthoo, Published in World Economics, 2000:
A Non-Technical Introduction to Bargaining Theory

LECTURES 12 and 13
Auctions

Lecture Notes

Articles on auctions:
Business Week: The Winner's Curse
The Observer: Collusion in auctions
New York Post: Clinton's memoirs

Introduction to the FCC Spectrum Auctions:
Official FCC Introduction
John McMillan Selling Spectrum Rights
Peter Cramton Money Out of Thin Air