Negotiation Device Estimating Counterpart Utility via Inversion
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Solution Overview
Problem
In automated negotiation, estimating the characteristics of a counterpart agent can lead to inaccurate results when the counterpart provides disguised proposals, such as randomized offers, as existing techniques rely on proposal content from the counterpart agent.
Innovation Solution
A negotiation device and method that estimate negotiation characteristics, including utility and threshold functions, by using information from its own proposals and responses, allowing for accurate estimation regardless of disguises, employing linear logistic regression to determine acceptance probabilities and functions.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Measurement precision
If existing estimation techniques use proposal content from counterpart agent, then estimation can be performed, but estimation accuracy deteriorates when counterpart provides disguised proposals
Solution Approach 1:
The patent introduces own proposals as an intermediary element to estimate counterpart characteristics. Instead of directly analyzing counterpart proposals which may be disguised, the system uses its own proposals combined with counterpart responses as a reliable mediator for estimation, thereby maintaining accuracy even when counterpart data is unreliable
Solution Approach 2:
The patent inverts the traditional estimation approach by not analyzing what the counterpart says (which may be disguised) but rather analyzing what the counterpart does in response to own proposals. This inversion allows reliable estimation of utility functions and acceptance thresholds by observing actual behavioral responses rather than trusting stated preferences
2Productivity
If more information about counterpart is disclosed, then negotiation efficiency improves, but vulnerability to exploitation increases
Solution Approach 1:
The patent employs feedback mechanisms where own proposals and counterpart responses are continuously analyzed to update estimation of counterpart characteristics. This feedback loop enables the system to adaptively improve negotiation strategies based on observed patterns, achieving efficiency without requiring full disclosure of private information
Solution Approach 2:
The system performs self-service estimation by using its own negotiation history and observed counterpart responses to automatically estimate counterpart utility functions and acceptance thresholds. This eliminates the need for information disclosure while maintaining negotiation efficiency through self-learning
Data Source
AI summary
A negotiation device conducting automated negotiation by transmitting and receiving proposals to and from a counterpart device includes an estimating unit configured to estimate a negotiation characteristic of the counterpart device by using information corresponding to a proposal transmitted by the negotiation device.


