Consider the partial pre-emption model. A Japanese (J) and a Chinese (C) restaurant are owned by firm-1. The unit cost of making a C-dish is $2 and the unit cost of making a J-dish is also \$2. There are two consumers one being more oriented towards C and the other towards J. Their utility functions are as follows. UC={pC,ifeatsCpJ,ifeatsJ and UJ={pC,ifeatsCpJ,ifeatsJ is the satisfaction from eating and is the slight disutility from eating the less preferred food. Assume >. Suppose =20 and =11.pC and p denote the price of the C and J food. (i) Suppose firm-2 enters the market and opens a C-restaurant. Firm-2 unit cost of making a C-food is $1. Determine the equilibrium price for the C-food and J-food and the profits for firm-1 and firm-2 if Firm-1 stays in the C-food market. Show that Firm-1 is better off exiting the market. Explain your answer. (5 marks) (ii) Suppose firm-2's cost of making C-food is $3. Determine the equilibrium prices for C and J and the profits of firm-1 and firm-2 if both firms stay in the market. Is it better for firm-1 to exit the C-food industry? Explain your answer. (4 marks) Consider the partial pre-emption model. A Japanese (J) and a Chinese (C) restaurant are owned by firm-1. The unit cost of making a C-dish is $2 and the unit cost of making a J-dish is also \$2. There are two consumers one being more oriented towards C and the other towards J. Their utility functions are as follows. UC={pC,ifeatsCpJ,ifeatsJ and UJ={pC,ifeatsCpJ,ifeatsJ is the satisfaction from eating and is the slight disutility from eating the less preferred food. Assume >. Suppose =20 and =11.pC and p denote the price of the C and J food. (i) Suppose firm-2 enters the market and opens a C-restaurant. Firm-2 unit cost of making a C-food is $1. Determine the equilibrium price for the C-food and J-food and the profits for firm-1 and firm-2 if Firm-1 stays in the C-food market. Show that Firm-1 is better off exiting the market. Explain your answer. (5 marks) (ii) Suppose firm-2's cost of making C-food is $3. Determine the equilibrium prices for C and J and the profits of firm-1 and firm-2 if both firms stay in the market. Is it better for firm-1 to exit the C-food industry? Explain your answer. (4 marks)