Complex dynamics in a repeated game model for Chinese telecommunication duopoly

Author

Xiangbo, Cheng ; Jing, Peng

Author_Institution

Dept. of Wireless Commun., Shijiazhuang Command Coll. of Armed Police Forces, Shijiazhuang, China

Volume

2

fYear

2009

fDate

20-22 Nov. 2009

Firstpage

591

Lastpage

595

Abstract

A repeated Bertrand model under the influence of stochastic perturbation has been established in this paper. The price adjustment parameter is introduced into the dynamic model to present the competitors´ modulating their product price to obtain the maximum profit based on bounded rationality. We study the complexity of the model with assumption that the demand function is irrational. Numerical simulation is provided to demonstrate the chaotic behavior of the discrete dynamical system and the impact of the perturbation is also analyzed.

Keywords

game theory; numerical analysis; pricing; profitability; stochastic processes; telecommunication industry; Chinese telecommunication duopoly; chaotic behavior; complex dynamics; demand function; discrete dynamical system; maximum profit; numerical simulation; price adjustment parameter; repeated Bertrand model; repeated game model; stochastic perturbation; Chaos; Chaotic communication; Cost function; Educational institutions; Numerical simulation; Oligopoly; Stochastic processes; Telecommunications; Uncertainty; Wireless communication; Bertrand model; Telecom market; complexity; repeated game; stochastic perturbaton;

fLanguage

English

Publisher

ieee

Conference_Titel

Intelligent Computing and Intelligent Systems, 2009. ICIS 2009. IEEE International Conference on

Conference_Location

Shanghai

Print_ISBN

978-1-4244-4754-1

Electronic_ISBN

978-1-4244-4738-1

Type

conf

DOI

10.1109/ICICISYS.2009.5358322

Filename

5358322