Merger and acquisition activity has increased sharply in the last decade. It seems useful to have models that can help senior managers of bidder firms make informed decisions about the amount of premium, over the target's share prices prevailing prior to merger announcement, that can be...

An assembler needs sets of components, each produced by a different supplier. To produce the components and assemble the final product, the firms involved need to construct their individual production capacities before observing the actual demand. The firms have an incentive scheme (contract) to...