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A and B Are Going to Play a Game Twice

question 14

Essay

A and B are going to play a game twice. During both repetitions, if they both select a low price or a high price, their market share stays the same. But if one selects a low price while the other selects a high price, then the only with the low gets more money while the one with the high price loses some market share. Based on this information what is the most likely outcome in both periods.


Definitions:

Diffuse or Die

A phrase implying that for innovations or ideas to survive, they must be spread and adopted widely; otherwise, they risk being forgotten or becoming obsolete.

Richard Walton

A figure associated with theories or concepts in organizational behavior or management, but requires further context for a specific definition.

Diffusion

The mechanism through which an inventive idea is transmitted over time through selected routes among members of a societal system.

Complex Innovations

Advanced, intricate changes or improvements in processes, products, or systems that often require significant understanding and adaptation.

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