Вы находитесь на странице: 1из 6

# EMG181 SW GAME THEORY 4TH Quarter SY 2011-2012 1) The game shown below give As payoff.

. Determine the value of x and y that will make entry (2,2) of the game a saddle point. Answer: B1 1 x B2 y 5 B3 6 10 Row Minimum Y<=5 so that row minimum is 1 x>=5 so that row minimum is 5 (Max) 2

A1 A2

A3 Column Maximum

## 2 Y<=5 so that the column maximum is 5 (Min)

3 10

The payoff is the additional percentage of customers reached by company A. Strategy 1 Share 1 0% 2 55% 3 35% 4 10% 5 90% 6 65% 7 45% 8 100% Column Maximum 0% 0 55 35 10 90 65 45 100 100 2 55% -55 0 -20 -45 35 10 -10 45 35 3 35% -35 20 0 -25 55 30 10 65 65 4 10% -10 45 25 0 80 55 35 90 90 Company B 5 6 90% -90 -35 -55 -80 0 -25 -45 10 10 65% -65 -10 -30 -55 25 0 -20 35 35

## 8 100% -100 -45 -65 -90 -10 -35 -55 0 0 (Min)

Row Minimum -100 -45 -65 -90 -10 -35 -55 0 (Max)

Company A

b) The game has a saddle point at (8,8). This means that both companies venture into using all three media. The value of the game is zero (fair game).

3) Below is a two-person, zero-sum game based on Player As payoff: Strategy Player A A1 A2 A3 A4 B1 1 2 -3 -7 B2 9 9 -4 -4 Player B B3 6 8 10 -6 B4 0 4 -3 -5

a) Specify the range for the value of the game. b) Formulate the game by linear programming. c) Solve the game graphically. Determine the optimal strategy and value of the game. Who wins the game? Answer: Strategy B1 Player A A1 A2 A3 A4 Column Maximum 1 2 -3 -7 2 (Min) B2 9 9 -4 -4 9 Player B B3 6 8 10 -6 10

B4 0 4 -3 -5 4

## Row Minimum 0 2 (Max) -4 -7

a) V = 2 b) LP Formulation: Player As Linear Program: Maximize z = V Subject to: V - p1 - 2p2 + 3p3 + 7p4 <= 0 V - 9p1 - 9p2 + 4p3 + 4p4 <= 0 V - 6p1 - 8p2 - 10p3 + 6p4 <= 0 V - 4p2 + 3p3 + 5p4 <= 0 p1 + p2 + p3 + p4 = 1 p1, p2, p3, p4 >= 0 V unrestricted Player Bs Linear Program: Minimize z = V Subject to: V - q1 - 9q2 - 6q3 >= 0 V - 2q1 - 9q2 - 8q3 - 4q4 >= 0 V + 3q1 + 4q2 - 10q3 + 3q4 >= 0 V + 7q1 + 4q2 + 6q3 + 5q4 >= 0 q1 + q2 + q3 + q4 = 1 q1, q2, q3, q4 >= 0 V unrestricted c) Optimal Strategy: Player A plays A2 while player B plays B1. Value of the Game, V = 2 Player A wins the game. Since the game used pure strategy, no need to solve graphically. NOTE: THERE WAS A TYPOGRAPHICAL ERROR IN THE DATA: Entry (2,2) should be -2. So the game matrix should be , Strategy B1 Player A A1 A2 A3 A4 Column Maximum 1 -2 -3 -7 1 (Min) B2 9 9 -4 -4 9 Player B B3 6 8 10 -6 10

B4 0 4 -3 -5 4

## Row Minimum 0 (Max) -2 -4 -7

a) 0 <= V <= 1 (Mixed Strategy) b) LP Formulation: Player As Linear Program: Maximize z = V Subject to: V - p1 + 2p2 + 3p3 + 7p4 <= 0 V - 9p1 - 9p2 + 4p3 + 4p4 <= 0 V - 6p1 - 8p2 - 10p3 + 6p4 <= 0 V - 4p2 + 3p3 + 5p4 <= 0 p1 + p2 + p3 + p4 = 1 p1, p2, p3, p4 >= 0 V unrestricted Player Bs Linear Program: Minimize z = V Subject to: V - q1 - 9q2 - 6q3 >= 0 V + 2q1 - 9q2 - 8q3 - 4q4 >= 0 V + 3q1 + 4q2 - 10q3 + 3q4 >= 0 V + 7q1 + 4q2 + 6q3 + 5q4 >= 0 q1 + q2 + q3 + q4 = 1 q1, q2, q3, q4 >= 0 V unrestricted c) Graphical Solution: Dominance: Strategy Player A A1 A2 A3 A4 B1 1 -2 -3 -7 B2 9 9 -4 -4 Player B B3 6 8 10 -6 B4 0 4 -3 -5

Player A

## Player A: Bs Choices B1 B4 As Expected Payoff p - 2(1 p) = p 2 + 2p = 3p - 2 0p + 4(1 - p) = 4 - 4p

V 6 5 6 5

4 3 2 1 0 p=0 -1 -2 p=?

4 3 2 1 0 p=1

VB1 = VB4 3p 2 = 4 - 4p 7p = 6 p = 6/7 1 p = 1/7 Optimal Strategy: Player A will play A1 6/7 of the time; A2 1/7 of the time;

A3 0 of the time; A4 0 of the time. Value of the game is: V = 3(6/7) 2 = 4/7 Player A wins the game. Player B: Player B Player A Strategy A1 A2 q B1 1 -2 1-q B4 0 4

As Choices A1 A2

Bs Expected Payoff q + 0(1 q) = q -2p + 4(1 - q) = -2q + 4 - 4q = -6q + 4 VA1 = VA4 q = -6q + 4 7q = 4 q = 4/7 1 - q = 1 - 4/7 = 3/7

Optimal Decision: Player B will play B1 4/7 of the time; B2 0 of the time; B3 0 of the time; B4 3/7 of the time. Value of the game is: V = q = 4/7 Player A wins the game.