Use the following to answer question:
Figure: Pricing Strategy in Cable TV Market I
-(Figure: Pricing Strategy in Cable TV Market I)Use Figure: Pricing Strategy in Cable TV Market I.In the figure,the dominant strategy for CableNorth:
A)is to advertise.
B)is not to advertise.
C)is to do whatever CableSouth does.
D)does not exist.

Question

Use the following to answer question:
Figure: Pricing Strategy in Cable TV Market I 
-(Figure: Pricing Strategy in Cable TV Market I)Use Figure: Pricing Strategy in Cable TV Market I.In the figure,the dominant strategy for CableNorth:
A)is to advertise. 
B)is not to advertise. 
C)is to do whatever CableSouth does. 
D)does not exist.

Quizplus · Accepted Answer

A dominant strategy is one that is best for a player, regardless of what the other player does. In the given scenario, CableNorth's best choice depends on CableSouth's actions, indicating that a dominant strategy does not exist.

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