Grey preference for analyzing the influence of externality within the graph model for conflict resolution

Abstract

Externality may have uncertain influence on decision makers (DMs). To address the conflicts with uncertain preference and externality, this study adopts the general grey number to measure the uncertain value of DMs’ option statements influenced by externality. It constructs adjustable grey preference influenced by externality (GPE), which can be dynamically adjusted according to the influence of externality. Subsequently, the study defines four equilibrium solutions for the graph model for conflict resolution based on grey preference influenced by externality (GPE-GMCR). Finally, the method is applied to a commercial bank operating conflict triggered by the Silicon Valley Bank (SVB) collapse in the United States, resulting in optimal results for conflict resolution. Specifically, the new model provides a practical tool for DMs, managers and policy makers to address conflicts arising from DMs’ uncertain preference under the influence of externality in complex environments.