SCENARIO: PAYOFF MATRIX FOR AIRBUS AND BOEING

question 35

Multiple Choice

SCENARIO: PAYOFF MATRIX FOR AIRBUS AND BOEING
The payoff matrix supplied shows outcomes of various strategies
That Airbus and Boeing might follow in response to action on the
Part of the other company.This payoff matrix describes actions
In developing so­called super­jumbo jets that can carry 600 or
More passengers.In each element, the lower­left value gives
The outcome for Boeing based on the action of Airbus and the
Upper­right value gives the outcome for Airbus based on the
Action of Boeing.For example, in element A, each company will
Lose $10 million if they both decide to produce super­jumbo jets.
(Scenario: Payoff Matrix for Airbus and Boeing) Boeing has
Decided not to produce super­jumbo jets.Instead, it will
Continue to market its 450­passenger 747s.However, Airbus will
Produce super­jumbo jets.Which element represents their joint
Decisions?

• A)A
• B)B
• C)C
• D)D

---

Definitions:

Opportunity-Enhancing

Activities or policies designed to increase the chances for success or advancement for individuals or organizations.

Economic Development

The process by which a region, country, or community improves the economic, financial, and social well-being of its people.

Compensatory Strategy

A method designed to offset or make up for a deficiency or limitation, often utilized in educational settings, workplace accommodations, or social policies.

Specific Learning

Pertains to a particular or focused area of learning, often implying specialized education.