GAME THEORY IN STARTUP STRATEGY: INSIGHTS INTO FINANCIAL AGREEMENTS, COMPETITIVE MARKETS, AND MARKET ENTRY TIMING

This research delves into the application of game theory in enhancing decision making within businesses by structuring data into a payoff matrix, for evaluating the relative benefits of cooperation and competition, among enterprises. The study illustrates that game theory contributes to shaping decisions and impacts the planning for a companys expansion. Business owners who understand game theory acquire perspectives on when to collaborate and compete in ventures. This insight is very useful, for firms that aim to thrive in the startup ecosystem. The paper will focus on the primary decisions such as the agreement with the venture capitalist making decisions in competitive markets and determining the optimal market entry timing.