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A simple microfoundation for the utilization of fragmentation indexes to measure the performance of a team

We propose a simple non-cooperative game model in which two fragmented teams compete to increase their performance. The theoretical framework is based on the theory of conflict. We show that, depending on the value of a parameter in the model, the power of the competing teams may be expressed as a f...

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Bibliographic Details
Published in:Economics letters 2012-09, Vol.116 (3), p.491-493
Main Authors: Le Maux, Benoit, Rocaboy, Yvon
Format: Article
Language:English
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Summary:We propose a simple non-cooperative game model in which two fragmented teams compete to increase their performance. The theoretical framework is based on the theory of conflict. We show that, depending on the value of a parameter in the model, the power of the competing teams may be expressed as a function of well-known fragmentation indexes: the Herfindahl–Hirschman index, the Laakso–Taagepera index, the best-shot index and the weakest-link index. ► We model two teams which compete to increase their performance. ► We examine the impact of fragmentation on the performance of the teams. ► A team’s performance is expressed as a function of well-known fragmentation indexes.
ISSN:0165-1765
1873-7374
DOI:10.1016/j.econlet.2012.04.057