-The Above Figure Shows the Payoff Matrix for Two Firms,A

question 58

Multiple Choice

-The above figure shows the payoff matrix for two firms,A and B,choosing to produce a basic computer or an advanced computer.The dominant strategy for firm A is

• A)producing an advanced computer.
• B)producing a basic computer.
• C)copying firm B's action.
• D)Firm A does not have a dominant strategy.

---

Definitions:

Mark-up

A percentage added to the cost of goods to cover overhead and profit, determining the selling price.

Retail Price

The price at which goods or services are sold to individual consumers in stores or online.

Retailer

A business or person that sells goods directly to consumers.

Credit Period

The duration during which a buyer can defer payment to a seller for goods and services purchased on credit.