14.18. Besanko, Inc. and Braeutigam, Ltd. compete in the high-grade carbon fiber market. Both firms sell identical
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14.18. Besanko, Inc. and Braeutigam, Ltd. compete in the high-grade carbon fiber market. Both firms sell identical grades of carbon fiber, a commodity product that will sell at a common market price. The challenge for each firm is to decide upon a capacity expansion strategy.
The following problem pertains to this choice.
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