A firm and its supply are going to negotiate a deal since the suppliers cost is 10, million per quarter in the value to the firm is 14 million per quarter there is 4, million per quarter to split between the two however they can each hire a negotiation consultant for 500,000 per negotiation if neither hires the consultant each expect to get half of the 4 million pot if only one hires the consultant it expects to get 3/4 of the pot minus the consultants cost if they both hire consultants they cancel each other out and they expect to get half the pot minus the consultant cost. what is the equilibrium of the simultaneous move game?

QUESTION 2 5 points Save An A firm and its supplier are going to negotiate a deal Since the supplier's cost is $10 million per quarter and the value to the firm is $14 million per quarter, there is $4 million per quarter to split between the two. However, they can each hire a negotiation consultant for $500,000 per negotiation. If neither hires the consultant, each expects to get half of the $4 million pot. If only one hires the consultant, it expects to get three-fourths of the pot minus the consultant costs. If they both hire consultants, they cancel each other out and they expect to get half the pot minus the consulting costs. What is the equilibrium of this simultaneous move gome