In th is paper, a generalmodel abou t two en terp rises to allocate p roduct ion and advert ising investm en t is set up. The model and it s part icu lar fo rm s are studied by u sing gam e theo ry. The ex is2 tence and mono tone of Cou rno t equ ilib rium abou t the model are p roven theo ret ically. O ne m ethod to f ind ou t the equ ilib rium so lu t ion is given. F inally, the resu lt s are tested and verif ied by analyzing a simp le p rob lem.