Game Theory is a branch of mathematics and economics that studies strategic interactions where the outcomes depend on the actions of multiple agents, each aiming to maximize their own payoff.
The process of two or more participants attempting to reach conflicting objectives or goals. The process of bidding for contracts is a game. Logically, each participant would bid estimated costs plus some amount for profit. Since only one contract would be awarded, the outcome depends jointly on the actions of all bidders.
The Minimax Principle is a decision criterion aimed at minimizing the maximum possible loss or regret. It involves selecting the outcome with the smallest potential loss, thereby aiming to achieve the least amount of regret in case of failure.
A zero-sum game is an economic and strategic situation in which the sum of the gains and losses of all participants equals zero. In such scenarios, whatever one party gains is exactly balanced by the losses of the other parties.
