On the Relevance of Game Theory in Strategic Thinking

Abstract

The author reviews some of the applicable literature and shows how game theory can be used to predict the outcome of a strategy, explain why a particular outcome to a strategy has occurred, investigate strategy and prescribe certain rules for the making of a strategy. He concludes that game theory can aid decision makers at all levels in formulating quality strategies. In fact, game theory should be an integral and indispensable part of the strategist's toolbox.

Keywords

• predict the outcome of a strategy
• Game Theory in Strategic Thinking
• formulating quality strategies
• strategist's toolbox