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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

M4.5 Dominance

The principle of dominance can be used to reduce the size of games by eliminating strategies that would never be played. A strategy for a player is said to be dominated if the player can always do as well or better playing another strategy. Any dominated strategy can be eliminated from the game. In other words, a strategy can be eliminated if all its game outcomes are the same as or worse than the corresponding game outcomes of another strategy.

Using the principle of dominance, we reduce the size of the following game:

Y1 Y2
X1 4 3
X2 2 20
X3 1 1

In this game, X3 will never be played because X can always do better by playing X1 or X2. The new game is

Y1 Y2
X1 4 3
X2 2 20

Here is another example:

Y
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Publisher Resources

ISBN: 9780134543161