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Quantitative Analysis for Management, 13/e
book

Quantitative Analysis for Management, 13/e

by Barry Render, Ralph M. Stair, Michael E. Hanna, Trevor S. Hale
January 2017
Beginner to intermediate
280 pages
217h 11m
English
Pearson
Content preview from Quantitative Analysis for Management, 13/e

M4.3 Pure Strategy Games

When a saddle point is present, the strategy each player should follow will always be the same, regardless of the other player’s strategy. This is called a pure strategy. A saddle point is a situation in which both players are facing pure strategies.

Using the minimax criterion, we saw that the game in Table M4.2 had a saddle point and thus is an example of a pure strategy game. It is beneficial for player X and for player Y to always choose one strategy. Simple logic would lead us to this same conclusion. Player X will always select X1, since the payoffs for X1 are better than the payoffs for X2, regardless of what player Y does. Knowing that player X will ...

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Publisher Resources

ISBN: 9780134543161