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On the Non-Symmetric Nash and Kalai–Smorodinsky Bargaining Solutions

Gerchak Y.

Decision Making in Manufacturing and Services

2015

Vol. 9, no. 1

55--61

Recently, in some negotiation application areas, the usual assumption that negotiators are symmetric has been relaxed. In particular, weights have been introduced to the Nash Bargaining Solution to reflect the different powers of the players. Yet, we feel that operating with non-symmetric bargaining solutions and their implications is not well understood. We analyze the properties and optimization of the non-symmetric Nash Bargaining Solution and of a non-symmetric Kalai–Smorodinsky Bargaining Solution. We provide extensive comparative statics, then comment on the implications of the concepts in supply chain coordination contexts.