04/10/2023

Tacit Negotiations & Social Dilemmas

By Alaa Abdul Hameed

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Prisoner Dilemma Types

Agenda & Table of content

Cooperative Games VS Non Cooperative Games

Prisoner Dilemma and Social Dilemma

Prisoner Dilemma Strategies

Social Dilemma Types

Social Dilemma Strategies

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Cooperative Games

Contract is explicitMutual understandingPeople usually come to the table Voluntarily

Non Cooperative Games Contract is TacitPeople don’t know what the other will doPeople usually pulled to the negotiation

Cooperative Games VS Non Cooperative Games

John Nash

04/10/2023

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Mobinil, Vodafone & Etisalat Rating War

•By nine years of controlling the market, Mobinil and Vodafone got through a cooperative agreement that they would settle the market in a level of around 40 pt per min rate.•By the first of May 2007 a third negotiator came on the table claiming for his slice of the pie which was Etisalat.•Etisalat came to the market with a Growth strategy that is targeting the Market Share; so they adopted to go through a price war against the other Market Negotiators, which was Mobinil & Vodafone.•This non cooperative approach leaded to an enormous change in the price level per min rating.

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04/10/2023

Prisoner Dilemma and Social Dilemma

Prisoner Dilemma is the kind of dilemmas that been reasoned of an non cooperative agreements , this kind of dilemmas was stamped by prisoner because it’s affect only the interactive 2 persons of entities in the negotiation.

while the social dilemmas was stamped as social because it’s affect will be upon multiple persons or the whole society

04/10/2023

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PRISONER DILEMMA

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04/10/2023

One Shot Decision

Repeated interaction for infinite number of trails

Repeated interaction for infinite number of trails

Thelma & Louise

Backward

induction, singling

opponents moves

Election or Rating

example

Preferably

cooperative,

Forward thinking

logic

Parliament

election

previously

Prisoner Dilemma Types

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04/10/2023

Prisoner Dilemma Strategies

Winner is loser

First move is a cooperative Move then follow the opponent moves

Draw Backs: never beat the opponent

Recovering from defection

Make your moves according to your opponent moves

You have to make your decision at the same time your opponent do

Tit For Tat Strategy

Cell Phone Operators moves application on both strategies

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SOCIAL DILEMMA

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Social Dilemmas is always stamped as a

non Cooperative negotiation as foot it’s

characteristics:

•Harder communication as large number of

stakeholders.

•Lesser control over the negotiation.

•Cost of spoilage will be separated between

the negotiators.

•The originator of the defection will be

anonymous.

The most common problem in the social

dilemmas is the Tragedy of commons

i.e. OPEC Organization

Social Dilemma

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04/10/2023

Collective Traps

Using pool’s resources

Overuse to the resources

Collective Fences

Giving resources to the pool

Idling of some participants will

lead to more load on the rest

Social Dilemma Types

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