A game-theoretical model for inter-organisational collaboration in information systems development. (19th September 2011)

• Record Type: Journal Article
• Authors: Chou, P. Ben
• Is Part Of: International journal of information technology and management. Volume 10:Number 2/3/4(2011)
• Page Start: 110
• Page End: 123
• Publication Date: 2011-09-19
• Subjects: coordination game -- game theory -- information systems -- inter-organisational collaboration -- knowledge-sharing dilemma -- strategic alliance; Management information systems -- Periodicals; Information technology -- Periodicals; Management -- Data processing -- Periodicals; 658.403805
• Languages: English
• ISSNs: 1461-4111

Abstract

This paper develops a game-theoretical model to address different levels of cooperation between two firms that share their knowledge/information systems as a local public good. The model shows that the collaboration between two firms can lead to the creation of new knowledge/information technology, and that a higher speed of creating new knowledge can change the structure of the game from a prisoners' dilemma game to a coordination game as an evolutionary process. Therefore, despite the knowledge-sharing dilemma, it is possible for both firms to reach the stable and more efficient full-collaboration equilibrium than the Nash collaboration equilibrium.