Scientific Bulletin of Mukachevo State University. Series “Economics”

Vol. 3, No. 1, 2016 open access Open access

Design of Strategies of Products’ Optimal Distribution on the Market

Maria Ihnatyshyn, Mykola Ignatyshyn

Pages 160 –164 Views 1,462 Views

Abstract

In the highly competitive and growing dynamism of economic environment, the issue of optimization of product strategy becomes very important. The enterprise product strategy should not only meet consumer needs, but also ensure the financial stability of the company. One of the main financial instruments that significantly affects the value of profit is the price. Price is the result of an agreement between the buyer and the seller of goods or services. In terms of national market, prices for the products are established based on the market conditions, demand, competition and other factors. Setting proper price and developing the enterprise product strategy focuses not only on identifying assortment list of the products, but also enables the company to grow, balance its production activities, mitigate risks and take proper management decisions. The activity of any company has elements of the game theory. Using the game theory techniques we can consider possible variants of behavior on the market, we also can predict behavior and possible strategies of partners and competitors. Applying the game theory gives the opportunity to choose its own strategy of behavior to the entrepreneur. The objectives of the research are: to develop a payment matrix of the game "production enterprisecommercial enterprise" and to find the combined solution of the game. Scientific novelty of the research is in the development of the payoff matrix game "production enterprise- commercial enterprise" and obtaining the solution of direct and dual problems, "production enterprise- commercial enterprise". The practical importance of the results is in the development of the mathematical model that can help to find the optimal distribution of goods between manufacturers and commercial enterprises, and creation of the optimal pricing strategy of market players that will take into account the pricing strategies of competitors. This theme has the prospect of research on how to use the theory of matrix games for calculations and comparison analysis of behavior of different enterprises, company units and so on.

Keywords

financial leverage, strategy, price, game theory, matrix games, simulation, trade optimization.

References

References in the process of publication

Suggested citation

Ihnatyshyn, M., & Ignatyshyn, M. (2016). Design of Strategies of Products’ Optimal Distribution on the Market. Scientific Bulletin of Mukachevo State University. Series “Economics”, 3(1), 160-164.