The telecom war between Reliance Jio and Airtel was only a preamble to the impending battle between Google and Jio. Nitish Kumar broke the mahagathbandhan while seeming to try to bend RJD to his will. All the schmoozing between Trump and Xi hasn’t reduced the North Korean nuclear threat. Could we have predicted these outcomes before they actually happened?  Yes we could have—not with IQ or EQ, but with ‘Game Theoretic Quotient’. A new intelligence, a new way of looking at the world. Game Sutra highlights the underlying strategic considerations of entities as diverse as heads of state, bitcoin miners and CEOs of internet companies to explain their decisive choices. Immerse yourself in its heady mix of cogent fact and smart analysis to develop your ‘game theoretic quotient’. Your world will never be the same again.

Sequential Games and Rollback Equilibrium

Sequential games and rollback equilibrium

In many interactive situations, players play turn by turn. The sequen-tially of the interaction introduces many elements not pertinent in simultaneous games. Hence, a new structure of analysis is necessary. This chapter introduces the model of sequential games and illustrates the application of this tool to a situation where an incumbent firm is facing the prospect of market entry by an audacious entrant. The critical importance of the order of play is highlighted.

In a game like chess, players take turns to play. For this reason, it is said to be a sequential game. The sequentiality of the game introduces many elements not pertinent in simultaneous games. Each player knows the sequence of past moves, their ...

  • Loading...
locked icon

Sign in to access this content

Get a 30 day FREE TRIAL

  • Watch videos from a variety of sources bringing classroom topics to life
  • Read modern, diverse business cases
  • Explore hundreds of books and reference titles