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Entry deterrence, Predation, Divisionalization and Investment b} (10 marks). Solve the StockeibergLimit Pricing model done in class for the parameter values indicated below to determine

Entry deterrence, Predation, Divisionalization and Investment

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b} (10 marks). Solve the \"StockeibergLimit Pricing\" model done in class for the parameter values indicated below to determine for what values of the market size parameter 'a' (i) entry is not blockaded and {iii both Limit Pricing and Stackelberg outputs are credible and {iii} entry accommodation at the Stackelberg equilibrium is more profitable than entry deterrence yia limit pricing. Stackelberg-Limit Pricing P=oQ,MC=c,FC=F Parameters: c = 80, s = .75, F = 100

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