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LimoZeenz and AirPorter and are the only two airport shuttle and limousine rental service LimoZeenz (LZ) companies in the mid - sized town of Shady
LimoZeenz and AirPorter and are the only two airport shuttle and limousine rental service LimoZeenz (LZ) companies in the mid - sized town of Shady Shores. Each firm must decide on whether to offer its customers a mid - week discount for airport transportation. The payoff matrix shows the profits Don't offer Offer earned by each company based on either offering or not offering the discount. LZ earns LZ earns What is the Nash equilibrium in this game? Don't $16,000 $12,000 AP earns AP earns offer $8,000 $15,000 O A. There is no Nash equilibrium. AirPorter (AP) LZ earns LZ earns O B. LimoZeenz offers the discount, but AirPorter does not. Offer $8,000 $6,000 AP earns AP earns O C. Both LimoZeenz and AirPorter do not offer the discount. $10,000 $12,000 O D. AirPorter offers the discount, but LimoZeenz does not
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