I am looking for a professional to help me on this assignment. I will provide you with the article. Thanks!1. Game TheoryBased on Brandenburger and Nalebuffs article, "The Right Game: Use Game Theory to Shape Strategy," describe and analyze the essential elements of game theory. Explain which two economic structures might engage in game theory and which two will not.2. Strategy TrapsIn Brandenburger and Nalebuffs article, "The Right Game: Use Game Theory to Shape Strategy," the authors describe five traps of strategy. Select any one of the five and provide a real world example of an organization falling victim to that trap.------------------------NOTES:http://www.12manage.com/methods_game_theory.htmlWHAT US GAME THEORY?DESCRIPTIONGame theory is a special branch of mathematics which has been developed for studying decision-making in complex cirscumtances. Game theory tries to predict outcomes based on interactive models in which the desicions of the party affect the decisions of the other parties. The meaning of "Game" here is: a move by one plater will result in moves of others. The idea historically dates back to the Talmud and Sun Tzu;s writings. However, the contemporary codification is attributed to John von Neumann and Oskar Morgenstern. They published the Theory of Games and Economic Behavior in 1944. In the early 1950's, John Nash generalized thier results and provided the basis of the modern field of Game Thoery. A rapid rise in theoretical developements led to the founding of the first academic magazine devoted to the field by Oskar Morgenstern in 1972. Few corporations nowadays think about thier strategy without adding some game theory models or game elements into thier strategy process.Game thoery can be defined as the study of how people interact and make decisions. This broad defintion applied to most of the socual sciences, but game thoery applies to mathematical models to this interaction under the assumption that each person's behaviour impacts the welll-being of all other participants in the game. These models are often quite simplified abstractions of real-world interactions. while many fame theorists cetainly enjoy playing games, a "game" is an abstract reporesentation of many serious situations and has a serious purpose.USAGE OF GAME THEORY.APPLICATIONS--Preparing business negotiations--Analyzing future market conditions--Strategic decision-making--Assess the viability of a new venture,bussiness model, program, prokect, product, service, or technology.ASSUMPTIONS IN GAME THEORYA major issue with game thoery is:it is necessary to make assumptions. Any model of the real world must make assumptions that simplify the reality,because the real world is to complex to anslyze with any precision. There is a constant tradeoff between realism and the technical capability to solve problems. Even if one could write down a model that accurately describes how people make decisions in general, no amount of computers would be alue to calculate it.What assumptions are made normally? The usual assumptions are:--Rationality: People take whatever actions are likely to male them more happy. And they know what makes them happy.--Common knowledge. We kwno that everyone is trying to make himself as happy as possible, potentially at our expense.These assumptions take many mathematical forms, from very strong (and likely unrealistic) towards much weaker forms in the study of behavioural game theory.Experimental economics examines the validity of these assumptions by seeing how real people act in controlled environments.EXAMPLE OF GAME THEORYThe most widely known example of game thoery is probably the Prisoner's Dilemna: A zero-sum game cooperation game that got its name from the following hypothetical question: imgaine two criminals arrested under the suspicion of having committed a crime together. However, the police does not have sufficient proof to have them convicted. The two prisoners are being isolated from each other, and the pilice offers each of them a deal: the person that offers evidence against the other one will be freed. If none of them accets the offer, they are infact cooerating against the police, and both of them will get only a small punishment because of lack of proof. They will both win. Howeverm if one person betrays the other, by confessing to the police, he will gain mote, since he is freed. The one who remained silent o the other hand, will receive the full punishment, since di not help the police, and there is sufficient proof. If both betray, both will be punished, but less severely than if they had refused to talk. The dilemna resides in the fact that each prisoner has a choice between only two options. Buth they can not make a good decision, without knowing what the other person will do.