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I want to apply the game theory to a scenario in security . where two ppl the optimal outcome of a game is one where no player has an incentive to deviate from his or her chosen strategy after considering an opponent's choice.

Example :-stealing a password. / social engineering

is it possible to apply game theory to this kind of scenario ?

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You'll want to figure out who the players are, what each of their sets of available actions are, and what the penalty-payoff matrix effectively looks like. I'm not sure if a Nash equilibrium is plausible in a computer security setting; administrators have unilateral motive to protect their systems and information and would-be hackers have presumed motive to damage or obtain access. Given smart use of resources, the former could make it too risky or difficult for the latter to rationally choose to attempt hacking, but that's more properly outside the scope of game-theoretic variables methinks. –  anon Jul 24 '11 at 13:42
thanks for the answer i was thinking the players may be user and the attacker and apply the Nash Equilibrium –  Sudantha Jul 24 '11 at 13:50
I don't see how you can apply game theory to social engineering: in social engineering, one of the players does not even know she is playing! –  Qiaochu Yuan Jul 24 '11 at 15:58
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It is possible to apply game theory to computer security, especially in the networked scenario. Here are some resources to get you on your way:

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