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Consider a 5G tower deployment game between two telecommunication firms Stel and Shub. Assume that Stel is ahead in the deployment process. Shub is deciding
Consider a 5G tower deployment game between two telecommunication firms Stel and Shub. Assume that Stel is ahead in the deployment process. Shub is deciding whether to join the competition (Choice: Join or Not Join). Shub will gain nothing if it chooses not to join. An estimated profit of $100M will go to Stel if there is no competitor in the market. If Shub decides to join and deploy 5G towers, then Stel will decide whether to share the market or to compete for the market with a price war (Choice: Share or Compete). If Stel shares, each firm will get a profit of $30M. If Stel competes for the market, each firm will lose $10M. Interpret the game with a game tree. Analyse and find the rollback equilibrium
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