''Thinking Strategically: The Competitive Edge in Business, Politics, and Everyday Life'' is a non-fiction book by Indian-American economist
Avinash Dixit
Avinash Kamalakar Dixit (born 6 August 1944) is an Indian-American economist. He is the John J. F. Sherrerd '52 University Professor of Economics Emeritus at Princeton University, and has been Distinguished Adjunct Professor of Economics at Li ...
and
Barry Nalebuff, a professor of economics and management at
Yale School of Management
The Yale School of Management (also known as Yale SOM) is the graduate business school of Yale University, a private research university in New Haven, Connecticut. The school awards the Master of Business Administration (MBA), MBA for Executive ...
. The text was initially published by
W. W. Norton & Company on February 1, 1991.
Overview
The book discusses issues of strategic behaviour, decision making, and
game theory. The authors present the main concepts, such as
backward induction
Backward induction is the process of reasoning backwards in time, from the end of a problem or situation, to determine a sequence of optimal actions. It proceeds by examining the last point at which a decision is to be made and then identifying wha ...
,
auction theory
Auction theory is an applied branch of economics which deals with how bidders act in auction markets and researches how the features of auction markets incentivise predictable outcomes. Auction theory is a tool used to inform the design of real- ...
,
Nash equilibrium
In game theory, the Nash equilibrium, named after the mathematician John Nash, is the most common way to define the solution of a non-cooperative game involving two or more players. In a Nash equilibrium, each player is assumed to know the equ ...
, noncooperative bargaining, to a general audience. Each concept is illustrated by examples from common life, business, sports, politics, etc.—as applying game theory to real life may be the best way of crystallizing the best options available.
Reception
—Review by ''Financial Times''
See also
*
1984 Orange Bowl
The 1984 Orange Bowl was the 50th edition of the college football bowl game, played at the Orange Bowl in Miami, Florida, on Monday, January 2. Part of the 1983–84 bowl game season, it matched the undefeated and top-ranked Nebraska Cornh ...
*''
Co-Opetition: A Revolution Mindset that Combines Competition and Cooperation'' also co-authored by
Barry Nalebuff
*
Coordination game A coordination game is a type of simultaneous game found in game theory. It describes the situation where a player will earn a higher payoff when they select the same course of action as another player. The game is not one of pure conflict, which r ...
*
Tragedy of the commons
Tragedy (from the grc-gre, τραγῳδία, ''tragōidia'', ''tragōidia'') is a genre of drama based on human suffering and, mainly, the terrible or sorrowful events that befall a main character. Traditionally, the intention of tragedy ...
*''
Thinking, Fast and Slow
''Thinking, Fast and Slow'' is a 2011 book by psychologist Daniel Kahneman.
The book's main thesis is a differentiation between two modes of thought: "System 1" is fast, instinctive and emotional; "System 2" is slower, more deliberative, and mo ...
''
References
{{Reflist
External links
Excerpt from the book*
1991 non-fiction books
Game theory
Popular science books
American non-fiction books
Business books
W. W. Norton & Company books