As discussed in class, market structure plays a crucial role in shaping strategic interactions among firms. Market is dynamic and evolves constantly, and incumbent firms tend to adjust their product lines in response to new competition. In the 1990's, Procter & Gamble cut its product line in response to private label brands. When AMD entered the microprocessor market, Intel released the 486SX, a low-quality version of its 486DX processor, to compete against AMD's 386DX processor. Qantas launched Jetstar in 2004 and Air France launched HOP! in 2012 to compete against low-cost carriers. Go over the following articles: Article 1, Article 2, Article 3, Article 4, and answer the following questions. (a) (6 marks) Netflix has recently decided to ditch its long-standing ad-free policy to introduce an ad-supported tier in early 2023. Using game theory to explain (i) why Netflix did not introduce an ad-supported tier before, and (ii) why Netflix has now decided to launch it. (b) (6 marks) You may find the current Netflix subscription options here. Using game theory to analyze how Netflix should optimally adjust its product line and pricing strategies with the introduction of an ad-supported tier.