Oil pricing exercise

This game was using Game theory.

2 teams of 8 people had to set price for oil
Alba
Bhatia
they sell oil to capital;options were $10,20,30 .

The profits earned by one depends on the price set by both.

There were some months in which double profit were there.There were moments where we could discuss the price of the oil to be set. The occasion was fashion show and olympics. There were unreliable sources, to help each country decide to set the price.

The game showed how things work at true competition. the market size is lowered due to distrust
Collusion is necessary.

We started selling at #10 because profits where more and was also safe.The conditions and simulations set by the Proffesor were good.
I learnt from this activity that we should not trust information from unrealized sources, not trust them to fix the price.
Always think about what other competitor thinks before setting your price.