Proportional egalitarian core solution for profit allocation games with an application to collaborative transportation planning

Bo Dai (1) , Haoxun Chen (2)

1 Shanghai Jiao Tong University [Shanghai]
2 LOSI - Laboratoire d'Optimisation des Systèmes Industriels

For a profit allocation game, one key issue is to find a fair allocation of profit among its players. In this paper, a proportional egalitarian core solution is proposed, which defines in the core of a game an allocation that takes account of each player's contribution to the grand coalition. This solution concept generalises the egalitarian core solution for cooperative games. To efficiently compute the new solution, a row generation method is developed. The applicability of this new solution concept and the row generation method is demonstrated by an application to a carrier collaboration problem with numerical experiment results.

Keywords: profit allocation games; game theory; cooperative games; collaborative planning; transport planning; carrier collaboration; row generation; egalitarian core solution

Domains: Operations Research [cs.RO]

Bo Dai, Haoxun Chen. Proportional egalitarian core solution for profit allocation games with an application to collaborative transportation planning. European Journal of Industrial Engineering, 2015, 9 (1), pp.53. ⟨10.1504/EJIE.2015.067456⟩. ⟨hal-02502855⟩