Strategic choice of an enterprise: modeling,algorithm and simulation
Yalin Chen · Systems engineering and electronics · 2006
The enterprises choose the competition action in face of the threat from the potential counterpart.The research on this problem in China is mainly qualitative analysis.Firstly the model for strategic choice is built based on the two-stage game.Secondly,the process of the game is described based on convex quadratic bilevel programming problem and the equilibrium of the game found out by solving the convex quadratic bilevel programming problem. Finally,the whole process of the game is simulated by an example of price competition to prove the correctness of the classification of the strategic choice.