The Table Below Shows the Payoff Matrix in the Form

question 20

Multiple Choice

The table below shows the payoff matrix in the form of short term profits for two firms,A and B,for two different strategies,investing in new capital or not investing in new capital.Payoffs are in millions of dollars. $\begin{array}{c}\quad \quad \quad \quad \quad \quad \quad \text { Firm } B\\\text { Firm } A\begin{array}{|l|l|l|}\hline& \text { Invest } & \text { Not Invest } \\\hline {\text { Invest }} & \$ 20 \text { for } \mathrm{A} & \$ 70 \text { for } \mathrm{A} \\& \$ 20 \text { for } \mathrm{B} & \$ 5 \text { for } \mathrm{B} \\\hline{\text { Not Invest }} & \$ 5 \text { for } \mathrm{A} & \$ 50 \text { for } \mathrm{A} \\& \$ 70 \text { for } \mathrm{B} & \$ 50 \text { for } \mathrm{B} \\\hline\end{array}\end{array}$
Refer to the figure above.For Firm A,_____ is its dominant strategy,and for Firm B,______ is its dominant strategy.

• A)investing;not investing
• B)not investing;investing
• C)investing;investing
• D)not investing;not investing

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Definitions:

Facet Satisfaction

The level of contentment one feels with various aspects of their job, such as pay, working conditions, or coworkers.

Equity Equation

An approach in organizational behavior focusing on fairness and justice in the allocation of resources and treatment of individuals.

Inputs

Resources, such as time, labor, and materials, used in the production process to create outputs or goods and services.

Outcomes

The results or consequences of an action or situation, often measured to assess the effectiveness of interventions or decisions.