Game theory studies interactions amongst rational decision makers. It applies to problems in many areas such as Economics, Business, Political Science and Psychology. The course will provide students with the language and tools of Game theory for analyzing business situations involving interaction with different players like firms, clients, government, subordinates etc. The aim of the course is to acquire the basic knowledge from the various areas of game theory and its applicability in marketing. The course emphasizes the importance and benefits of basic marketing postulates in terms of the interconnection to the game theory. Emphasis is placed on acquiring skills in marketing decision-making and performing individual marketing activities of the organization, especially in strategic and marketing planning, market segmentation and market positioning, marketing research, analysis of marketing environment and consumer and organizational purchasing behavior in designing of marketing mix. The application of game theory to marketing brings added to the discipline. Instead of using traditional measures to support marketing decisions, game theory can enhance the view on customers and their buying journey. This allows marketers to paint a clearer picture of what they should do more of, and where they’d be better off saving their money.
The knowledge, skills, competences and transferable competences that a student acquires by successfully completing the course and affect his personal development and can be used in his future career:
- general knowledge and perspective
- ability to use expertise in practice
- knowledge of conditions for the use of professional methods and theory in practice
- language skills
- language skills in a foreign language
- skills to work with information
- ability to identify and solve problems
- ability to think and act creatively and flexibly
- presentation skills
- ability to work in a team
- have an active approach
- entrepreneurship, the ability to identify new (business) opportunities
- ability to think and act economically
- the ability to learn and organize their learning
Lecturers:
Dr. Zvika Winer, Western Galilee College, Israel
Dr. Lucia Vilčeková, Faculty of Management, Comenius University, Slovakia
Syllabus:
1. Presentation of game theory. Textbook pp. 11-43, 50-73.
2. Strategic-form Games. Textbook pp. 193-226.
3. Nash equilibrium. Textbook pp 39-44.
4. Extensive-form Games. Textbook 227-249.
5. Subgame-perfect equilibrium. Textbook 128-134.
6. Common Knowledge. Textbook pp 261-294.
7. How People Make Buying Decisions. Chapter 3.
8. Market Segmenting, Targeting, and Positioning. Chapter 5.
9. Using Supply Chains to Create Value for Customers. Chapter 9.
Textbooks:
Principles of Marketing - Open Textbook Library (umn.edu)
Bonanno, G. Game Theory. http://faculty.econ.ucdavis.edu/faculty/bonanno/GT_Book.html
