New hierarchical model revolutionizes firm competition strategy under uncertainty!
The article explores how companies compete in markets with uncertainty. It looks at a two-level hierarchy where a leader makes decisions and followers adjust their strategies. The study uses mathematical models to analyze competition under uncertain conditions. The researchers consider factors that are not fully controlled, like actions of other companies. They use different criteria to find the best strategies, focusing on minimizing regret in worst-case scenarios. The findings show how firms can make optimal decisions in competitive environments with unknown variables.