B2B electronic market analysis using game theory

Subject Areas : Mathematical Optimization

M.J Tarokh ¹ , S Sohrabi ² , H Shahriari ³

1 - Associate Professor, Dep. of Industrial Engineering, K.N.Toosi University of Technology, Tehran, Iran
2 - Lecturer, Dep. of Computer Engineering, Islamic Azad University, Ardabil Branch, Ardabil, Iran
3 - Assistant Professor, Dep. of Industrial Engineering, K.N.Toosi University of Technology, Tehran, Iran

Received: 2015-05-18 Accepted : 2015-05-18 Published : 2011-03-01

Keywords: B2B electronic market, Double auction, Game Theory, Linear programming, Neutral market,

Abstract :

In the explosive growth of Business to Business (B2B) Electronic Trades, electronic markets have received a great deal of attention recently. The obtained profit of trading in E-B2B market encourage market participants to remain in the market. Market participants consist of: sellers, buyers, and market owner. In this paper the expected profit function for each market participant has been defined in a neutral market based on double auction. Also, the model is simulated and results are shown. Linear programming in game matrix is used to exhibit the capability of the proposed model to support the decision making process. Then the model is exemplified.