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1. Firm A is a new comer in a fast food industry with monopolistic competition market characteristics. It is reported that they will start their

1. Firm A is a new comer in a fast food industry with monopolistic competition market characteristics. It is reported that they will start their business with 15 branches all over Malaysia with holding capital power of just quarter from the total average capital of its competitors. Firma A merupakan pendatang baru didalam industri makanan segera dengan ciri-ciri pasaran persaingan monopolistic. Dilaporkan bahawa mereka akan memulakan perniagaan dengan 15 cawangan seluruh Malaysia dengan kuasa modal tertahan hanya suku daripada purata jumlah keseluruhan modal pesaing-pesaingnya. a. For a start, what dominant strategy that firm A have? And why? (5 marks) Sebagai Permulaan, apakah strategi dominan yang dimiliki firma A? Mengapa? (5 markah)

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