Research Article

Game Theory and Strategic Management: Navigating the Usefulness of Game-Theoretic Tools in a Dynamic Corporate Environment

Volume: 8 Number: 3 October 15, 2025
TR EN

Game Theory and Strategic Management: Navigating the Usefulness of Game-Theoretic Tools in a Dynamic Corporate Environment

Abstract

This article examines the relationship between strategic management and game theory, and how game-theoretic tools can guide strategic decision-making. onsidering the interdependence between competitors and the dynamism of the corporate world, the article explores how game-theoretic tools help in selecting effective strategies that maximize company outcomes. It does so by reviewing the historical development of both fields and examining relevant literature on their intersection. To further explore the relationship between the two concepts, an R-based simulation is employed to compare the outcomes of game-theoretic strategies with those formed independently by firms, without accounting for competition. The study showed that when decisions were made using game-theoretic principles, specifically those derived from the prisoner's dilemma framework, market outcomes were consistently more favorable. This was achieved by simulating a duopolistic market with two competitors adopting either aggressive or conservative marketing strategies. The simulations run in R Studio showed that both players had larger average market shares when they took into account their competitors' expected reactions and strategic foresight. These findings highlight the importance of game theory in sectors where the behavior of rivals is highly interrelated.

Keywords

Supporting Institution

No financial support was received for the conduct of the research.

Ethical Statement

This paper complies with Research and Publication Ethics, has no conflict of interest to declare, and has received no financial support. The article has been checked for spelling and plagiarism/similarity. The article was evaluated by "at least two external referees" and "double blinding" method. The author sent a signed "Copyright Transfer Form" to the journal. There is no need to obtain ethical permission for the current study as per the legislation. The "Declaration Form Regarding No Ethics Permission Required" was sent to the journal by the author on this subject. The author contributed to all sections and stages of the study alone.

References

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Details

Primary Language

English

Subjects

Marketing Management , Strategy

Journal Section

Research Article

Publication Date

October 15, 2025

Submission Date

February 13, 2024

Acceptance Date

October 14, 2025

Published in Issue

Year 2025 Volume: 8 Number: 3

APA
El Mtıouı, G. (2025). Game Theory and Strategic Management: Navigating the Usefulness of Game-Theoretic Tools in a Dynamic Corporate Environment. Uluslararası Yönetim Akademisi Dergisi, 8(3), 578-589. https://doi.org/10.33712/mana.1436608

Creative Commons Lisansı
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