Strategic Dispatching Equilibrium under Competition in Multi-Regional Ride-Hailing Markets

RESUMO

This paper studies competition between ride-hailing companies in a multi-regional market through a static non-cooperative game, in which each company allocates its fleet across regions to maximize profit. Under the assumptions of the proposed framework, we establish an equilibrium existence result on a restricted feasible set by analyzing the asymptotic quasi-concavity of the payoff functions. A numerical study of a two-company, two-region market shows that relative fleet size strongly affects equilibrium dispatching strategies: the smaller company tends to concentrate its fleet in one region and serves both regions only after its fleet share (in percentage) exceeds a threshold. In the numerical setting considered here and under the Logit demand specification, more balanced fleet sizes are associated with higher total industry profit and higher total served demand than strongly asymmetric fleet configurations.