This payoff matrix gives values for strategies S1, S2, and S3 for ...

[mynx]

This payoff matrix gives values for strategies S1, S2, and S3 for the Bigg Company and competitive strategies CA1, CA2, and CA3 for the Large Company. From Bigg's point of view, the S3 maximum regret is 1.
 
  CA1 CA2 CA3
  S1 8 5 12
  S2 9 14 3
  S3 16 13 20
 
  Indicate whether the statement is true or false.

Question 2

This regret matrix gives values for strategies S1, S2, and S3 for the Bigg Company and competitive strategies CA1, CA2, and CA3 for the Large Company. A minimax Bigg manager would choose S2 because it has the smallest maximum regret of 1.
 
  CA1 CA2 CA3
  S1 5 5 3
  S2 9 6 1
  S3 10 2 5
  Indicate whether the statement is true or false.

[choc0chan]

Answer to Question 1

Answer: TRUE
Explanation: The S3 value for CA2 is 13, which is 1 less than the maximum CA2 value of 14.

Answer to Question 2

Answer: FALSE
Explanation: A minimax manager would choose S1, the strategy with the smallest maximum regret of 5.