Pricing Mechanism Research in Duopoly Online Bicycle-Sharing Market: A Game Theory Approach

Abstract

Online bike-sharing market has taken off in China since 2016 and in the competition two companies stand out and occupy most of the market share. This paper provides an analysis of rental pricing mechanism for this two companies in this e-market. Firstly, the thesis builds the spontaneous evolutionary game model of the pricing for online bicycle renting and obtains the evolutionary stable strategy. Then the authors propose optimization schemes and pricing mechanism from these leasing service suppliers' perspective. On this basis above, research on how to avoid malicious competition and create a healthy market will be discussed.