We consider location-then-price game as a two stage game of n players on the graph. Logit analysis is used to model demand distribution between competitors. The use of multinomial logit model allows to compute shares in case of n players and proceed with studying price equilibrium. Price and location equilibria are constructed using best response dynamics. We apply proposed model to Russian and Chinese airline markets and find location and price equilibria for competitive airlines.
Original languageRussian
Pages (from-to)754-757
Number of pages4
JournalProcedia Computer Science
Volume31
DOIs
StatePublished - 2014
Event2nd International Conference on Information Technology and Quantitative Management, ITQM 2014 - Moscow, Russian Federation
Duration: 3 Jun 20145 Jun 2014

ID: 135303930