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Assuming that there are only 2 cell phone companies, Apple and Samsung, what is the ((Nash) Equilibrium) or price that each company in the following
- Assuming that there are only 2 cell phone companies, Apple and Samsung, what is the ((Nash) Equilibrium) or price that each company in the following matrix will charge? At that price, what are the profits for each company? Note that the first number listed in bold is the profit for Apple and the second number listed that is in italics is the profit for Samsung. (10 points)
- Can Apple and Samsung Collude to increase their profits? Why or why not? (5 points)
| Samsung | ||||
| $999 | $1099 | $1199 | ||
| Apple | $999 | $13000 $22000 | $16000 $19000 | $20000 $16000 |
| $1099 | $12000 $18000 | $15000 $15000 | $18000 $13000 | |
| $1199 | $9000 $14000 | $13000 $12000 | $16000 $10000 |
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Management Leading And Collaborating In A Competitive World
Authors: Thomas S Bateman, Scott A Snell, Robert Konopaske
15th International Edition
978-1265051303
