In January,Walmart offered a 10% off coupon and Target did not.In February,Target offered a 10% off coupon and Walmart did not.In March,Walmart offered a 10% off coupon and Target did not.It is likely that Walmart and Target are both playing the ________ strategy.
A) dominated
B) tit-for-two-tats
C) retail retaliation
D) tit-for-tat
E) mutually assured destruction

Question

Quizplus · Accepted Answer

The tit-for-tat strategy is a well-known game theory concept that involves taking an action in response to the other party's previous move. In this case, both Walmart and Target are offering a 10% off coupon in alternating months in response to the other's previous action. This suggests that they are both using the tit-for-tat strategy.

In January,Walmart Offered a 10% Off Coupon and Target Did