The analysis of decision-making of investing in the bi-national marketing channel with game options

Author

Lin, Tyrone T. ; Wang, Shih-Ting

Author_Institution

Dept. of Int. Bus., Nat. Dong Hwa Univ., Hualien, Taiwan

fYear

2009

fDate

8-11 Dec. 2009

Firstpage

503

Lastpage

507

Abstract

This study uses the mathematical model of game options to analyze when the distributors of the two countries choose to invest in the domestic or international marketing channel, they will consider competitors´ behavior and invest in the marketing channels of the two countries based on the optimal time point. The results will provide distributors with the references of evaluating the influence of the potential channel value on the firm value and deciding whether to enter the international marketing market when they want to invest in the multi-national marketing channel in the future.

Keywords

decision making; decision theory; game theory; investment; market research; bi-national marketing channel; competitors behavior; decision making; distributors; domestic marketing channel; firm value; game options; mathematical model; multi-national marketing channel; optimal time point; potential channel value; Decision making; Game theory; decision-making; game options; geometric Brownian motion; marketing channel;

fLanguage

English

Publisher

ieee

Conference_Titel

Industrial Engineering and Engineering Management, 2009. IEEM 2009. IEEE International Conference on

Conference_Location

Hong Kong

Print_ISBN

978-1-4244-4869-2

Electronic_ISBN

978-1-4244-4870-8

Type

conf

DOI

10.1109/IEEM.2009.5373295

Filename

5373295