Business can be conducted in a network who various organizations who are interrelated with each other. For instance, an automobile manufacturing business has a network of different dealers located in different regions. The automobile manufacturer and the dealer are interrelated, like the decision taken by the manufacturer to change the prices would ultimately have an impact on other organization’s revenue. To make a reasonable rationale decision in such condition, the application of game theory could be effective. It requires a detailed understanding of the “game rules” in business, for the application of game theory to real-world issues that demand the evaluation of the kind of correlations the firms have and what are the impacts of unrelated data in exploring the balance solution.
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