M represents the manager's general ability and S is Ford-specific ability, where S can be positive, negative, or zero. Suppose Ford knows Q F and Chrysler knows Q C but Ford does not know how much of the manager's output is due to general skills, M, and how much is due to Ford-specific skills, S. Neither firm knows how much the manager will produce in the other firm. Ford currently pays all managers a wage of W, that Chrysler knows. Both M and S are independent random variables. M is uniformly distributed between 0 and 1, and S is uniformly distributed between -/2 and /2. Chrysler cannot tell whether a raid will succeed until it tries to raid, since Chrysler does not observe Q F and therefore does not know how much the manager is worth to Ford