Three Fast Food Hamburger Restaurants Are Competing for the College

question 42

Short Answer

Three fast food hamburger restaurants are competing for the college lunch crowd.Burger Bills has 40% of the market while Hungry Heifer and Salty Sams each have 30% of the market.Burger Bills loses 10% of its customers to Hungry Heifer and 10% to Salty Sams each month.Hungry Heifer loses 5% of its customers to Burger Bills and 10% to Salty Sams each month.Salty Sams loses 10% of its customers to Burger Bills while 20% go to Hungry Heifer.What will the market shares be for the three businesses next month?

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Definitions:

Floor Effect

Failure of a measure to detect a difference because it was too difficult.

Paper-and-pencil Questionnaire

A traditional survey method where participants respond to questions written on paper by physically marking their answers.

Functional MRI

A neuroimaging technique that measures brain activity by detecting changes associated with blood flow.

Double-blind Technique

An experimental procedure in which neither the participants nor the experimenters know who is receiving a particular treatment, to prevent bias.