Game Theory Approach to Product Service Systems

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Abstract

This conceptual paper discusses the application of game theory to Product Service System (PSS) research by highlighting the pros and cons in game theory in treating various aspects of PSS. To this end, we first describe the basic formulation in game theory, its usefulness and limitations and its potential applications in PSS. We then propose some ways of modeling three types of PSS: product-oriented PSS, use-oriented PSS, and result-oriented PSS using the game theory framework. Three studies that authors have so far conducted are presented as case examples: (1) a case addressing a member-type PSS, (2) a case of product lease service, and (3) a case of platform businesses. We explain how to apply our proposed modeling methods in the aforementioned cases.

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APA

Nishino, N., & Tjahjono, B. (2018). Game Theory Approach to Product Service Systems. In Procedia CIRP (Vol. 73, pp. 304–309). Elsevier B.V. https://doi.org/10.1016/j.procir.2018.03.326

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