Delegation games:analysis and applications

Organizations and researchers always ask: How can we increase the profits of a company? Is there a way to improve the performance of managers? How can a company fulfill certain aims (such as high sales, high market share etc.)? Here, managerial bonuses play a role. This dissertation considers managerial delegation and bonus systems from a game theoretical perspective. It investigates how managerial incentives interact with each other. It studies how profits, production, welfare and international trade are affected by bonus systems. It searches the best bonus system for enterprises and introduces a new bonus system for companies. It also introduces a new solution method to the game theory literature