We propose an evolutionary approach for studying the dynamics of interaction of strategic agents that interact in a marketplace. The goal is to learn which agent strategies are most suited by observing the distribution of the agents that survive in the market over extended periods of time. We present experimental results from a simulated market, where multiple service providers compete for customers using different deployment and pricing schemes. The results show that heterogeneous strategies evolve and co-exist in the same market.

complexity economics, marketing, multi-agent systems, simulation, trading agents
Information and Product Quality; Standardization and Compatibility (jel L15), Business Administration and Business Economics; Marketing; Accounting (jel M), Management of Technological Innovation and R&D (jel O32), Marketing (jel M31)
Erasmus Research Institute of Management
hdl.handle.net/1765/10972
ERIM Report Series Research in Management
ERIM report series research in management Erasmus Research Institute of Management
Erasmus Research Institute of Management

Babanov, A, Ketter, W, & Gini, M. (2008). An Evolutionary Framework for Determining Heterogeneous Strategies in Multi-Agent Marketplaces (No. ERS-2008-002-LIS). ERIM report series research in management Erasmus Research Institute of Management. Erasmus Research Institute of Management. Retrieved from http://hdl.handle.net/1765/10972