Suppose That There Are Only Two Vehicle Dealerships (A and B)in

question 13

Essay

Suppose that there are only two vehicle dealerships (A and B)in a small city.Each dealership is considering three strategies that are designed to take sales of new vehicles from the other dealership over a period of four months.The strategies,assumed to be the same for both dealerships,are:
Strategy 1: Offer a cash rebate on a new vehicle.
Strategy 2: Offer free optional equipment on a new vehicle.
Strategy 3: Offer a 0% loan on a new vehicle.
The payoff table (in number of new vehicle sales gained per week by Dealership A (or lost by Dealership B)is shown below. $$\begin{array}{l}\begin{array} { | l c | c c c | } &&&\text { Dealership B }\\\\&& \text { Cash Rebate } & \text { Free Options } & 0 \% \text { Loan } \\{ \text { Dealership } A } &&b _ { 1 } & b _ { 2 } & b _ { 3 } \\\hline \text { Cash Rebate } a _ { 1 }& & 2 & 2 & 1 \\\text { Free Options }a _ { 2 } & & - 3 & 3 & - 1 \\0 \% \text { Loan } a _ { 3 }& & 3 & - 2 & 0 \\\hline\end{array}\end{array}$$ Identify the pure strategy for this two-person zero-sum game.What is the value of the game?

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Definitions:

Human Bonds

The emotional or psychological connection or ties between individuals that can provide support and foster a sense of belonging.

Authoritarian Parents

Parents who enforce strict rules and expect unquestioned obedience from their children, often without providing warmth or feedback.

Expect Obedience

The belief or expectation that commands, orders, or instructions will be followed without question.

Responsive

Being reactive or sensitive to external stimuli or internal needs, and able to adapt or respond to changes appropriately.