Can business strategy be viewed as a game?
This paper suggests that it can: The players-namely, firms and their customers, suppliers, competitors, partners, etc.-make strategic moves and countermoves that lead to the creation of a certain amount of value and to the division of this value among the players. We offer a game-theory formulation of this idea, which we call a biform game, to be used to analyze the consequences of strategic moves. Such moves might concern entry, position, brand, capacity, R&D, or other decisions a firm faces. This paper gives both the general theory of biform games and a number of applications. Source: MANAGEMENT SCIENCE Vol. 53, No.
