-The above figure shows a payoff matrix for two firms,A and B,that must choose between selling basic computers or advanced computers.Firm B's dominant strategy
A) is to make basic computers.
B) is to make advanced computers.
C) is to adopt firm A's strategy.
D) does not exist in this game.

Question

-The above figure shows a payoff matrix for two firms,A and B,that must choose between selling basic computers or advanced computers.Firm B's dominant strategy
A) is to make basic computers. 
B) is to make advanced computers. 
C) is to adopt firm A's strategy. 
D) does not exist in this game.

Quizplus · Accepted Answer

A dominant strategy is one that results in the highest payoff for a player, regardless of what the other player does. In this scenario, without the specific payoff matrix provided, it's impossible to determine Firm B's dominant strategy. However, if the answer indicates that Firm B does not have a dominant strategy, it suggests that Firm B's best choice depends on what Firm A decides to do, indicating no single strategy always yields the highest payoff for Firm B regardless of Firm A's actions.

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