Journal article

Firm competition in a probabilistic framework of consumer choice

  • Liao, Hao Physics Department, University of Fribourg, Switzerland
  • Xiao, Rui Physics Department, University of Fribourg, Switzerland
  • Chen, Duanbing Physics Department, University of Fribourg, Switzerland - Web Sciences Center, School of Computer Science and Engineering, University of Electronic Science and Technology of China, Chengdu, China
  • Medo, Matúš Physics Department, University of Fribourg, Switzerland
  • Zhang, Yi-Cheng Physics Department, University of Fribourg, Switzerland
Show more…
    15.04.2014
Published in:
  • Physica A: Statistical Mechanics and its Applications. - 2014, vol. 400, p. 47–56
English We develop a probabilistic consumer choice framework based on information asymmetry between consumers and firms. This framework makes it possible to study market competition of several firms by both quality and price of their products. We find Nash market equilibria and other optimal strategies in various situations ranging from competition of two identical firms to firms of different sizes and firms which improve their efficiency.
Faculty
Faculté des sciences et de médecine
Department
Département de Physique
Language
  • English
Classification
Physics
License
License undefined
Identifiers
Persistent URL
https://folia.unifr.ch/unifr/documents/303788
Statistics

Document views: 6 File downloads:
  • zha_fcp.pdf: 5