The above figure shows the payoff to two airlines, A and B, of ...

[futuristic]

The above figure shows the payoff to two airlines, A and B, of serving a particular route. If the two airlines must decide simultaneously, which one of the following statements is TRUE?
◦ Firm A does not have a dominant strategy.
◦ Firm B does not have a dominant strategy.
◦ Neither firm entering is a Nash equilibrium.
◦ The outcome of the game is unpredictable.

[Jmfn03]

Firm B does not have a dominant strategy.

[futuristic]

Thanks

[Jmfn03]

Welcome

[clippers!]

The above figure shows the payoff to two airlines, A and B, of serving a particular route. If the two airlines must decide simultaneously, which one of the following statements is TRUE?
◦ Firm A has a dominant strategy.
◦ Firm B has a dominant strategy.
◦ Neither firm entering is a Nash equilibrium.
◦ The outcome of the game is unpredictable.

[lin77x]

Firm A has a dominant strategy.

[deesands]

The above figure shows the payoff to two airlines, A and B, of serving a particular route. If the two airlines must decide simultaneously, which one of the following statements is TRUE?
◦ Only firm A will enter the market.
◦ Only firm B will enter the market.
◦ Neither firm entering is a Nash equilibrium.
◦ The outcome of the game is unpredictable.

[wfdfwc23]

Only firm A will enter the market.

[deesands]

Thank you!

[wfdfwc23]

Always glad to help...