Coalitions in competitive bribery games (Q1102213)

The strategical bribery possibilities of a few firms in a corrupt society are investigated. The firms aim to obtain a government contract connected with certain profit. The final payoff of each firm depends on that profit and on production costs (if the contract is obtained) and on the bribe value. The main results of the paper characterize the Nash equilibrium of the considered type of game for cooperative and non-cooperative behaviour of the firms. Most attention is paid to the case of three competiting firms.