Help! Very confused, work in photo attached with all information included! What's blocked off is personal information that has nothing to do with the question. Thanks!

2. Consider a game where a potential market Entrant is trying to decide whether or not to enter the market. An Incumbent monopolist is established and can choose to cut the price, maintain the price, or raise the price in hopes of deterring the Entrant from entering. Incumbent Cut Price Maintain Raise Price Price Enter -4,4 4,6 5,5 Entrant Stay Out 0,9 0,12 0, 13 a) Suppose the players move sequentially, and that the Entrant moves rst. Set up the game tree and solve for the equilibrium path. Can the Incumbent deter entry? Explain. b) Now suppose that the Incumbent moves first. Again, set up the game tree. What is the subgame perfect Nash equilibrium outcome now? Can the Incumbent deter entry now? 3. Consider a game where X30): and Playstation are deciding how to market their consoles. They are used in two different ways - for gaming or for media applications. Xbox's comparative advantage is in media applications whereas Playstation's is in gaming. In their marketing campaigns, each company can emphasize its strength as either a gaming system, a media system, or a complete package, Le. both. XBox Gaming Media Both Gaming 11 , 8 6 , 12 1|] , 14 Plavstation Media 12 , 9 3 , 1o 9, 8 Both 11, 6 12, 11 4 , 6 a) Suppose instead that Xbox can move rst. What will be the equilibrium path now? Will Xbox want to move first? Will PlayStation want them to? Explain