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Equilibrium Solution in a Game between a Cooperative and its Members

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  • Cesarino Bertini

    () (University of Bergamo, Department of Mathematics, Statistics, Informatics and Applications, Bergamo, Italy)

  • Gianfranco Gambarelli

    () (University of Bergamo, Department of Mathematics, Statistics, Informatics and Applications, Bergamo, Italy)

  • Antonino Scarelli

    () (University of Tuscia, Department of Ecology and Sustainable Economic Development, Viterbo, Italy)

  • Zoltán Varga

    () (Szent István University, Institute of Mathematics and Informatics, Gödöllö, Hungary)

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    Abstract

    In the paper a game-theoretical model is set up to describe the conflict situation in which the members of a marketing cooperative may take advantage of an external market price, higher than that offered by the cooperative. Under appropriate conditions on the penalty strategy of the cooperative, the faithfulness of all members will provide a Nash equilibrium for the considered game, which at the same time also is an attractive solution, with the cooperative as a distinguished player.

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    Bibliographic Info

    Article provided by Charles University Prague, Faculty of Social Sciences, Institute of Economic Studies in its journal AUCO Czech Economic Review.

    Volume (Year): 5 (2011)
    Issue (Month): 2 (August)
    Pages: 162-171

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    Handle: RePEc:fau:aucocz:au2011_162

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    Related research

    Keywords: Cooperatives; Game Theory; Nash equilibria;

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