Strategic Analysis and Model Construction on Conflict Resolution with Action Game Theory

This research uses the “Participating Observation Method” to observe the interaction between manufacturer and distributor negotiation strategies, determine the preference and expectation of participants, and establish a framework for this type of research. Then it sets up the “analysis framework of negotiation strategies” between the manufacturer and the distributor based on an analysis of the respective conditions, advantages, and disadvantages of the manufacturer and distributor. Thirdly, this study sets up a reward matrix of the strategy action game between the manufacturer and the distributor. Then establishes a set of feasible “negotiation models” based on the reward matrix of the strategy game between the both parties to observe how the manufacturer and the distributor make their own bargaining decisions in the situation of information asymmetry or exterior opportunity/threat. Finally, this study establishes a “multi-agent strategy game protocol system model” to solve the conflict resulting from the self-strategizing of both parties for their own interests, and to achieve the utmost efficiency in the negotiation.