Game Theory Approach for Open Innovation Systems Analysis in Duopolistic Market

Abstract

The approach used in this study involves applying the Cournot model, which is initially based on the analysis of product quantities in the market. Building upon the obtained equilibrium, a second analysis is conducted to examine the impact of the open innovation integration rate, utilizing a dynamic model. The obtained results have demonstrated that multiple equilibria are possible, and under certain conditions, competing firms have a stake in carefully analyzing the integration rate of open innovation.