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Suppose NittanyLand has two movie theaters, Roar Cinemas and Big Paw Multiplex, that are deciding whether to offer a student discount on tickets. The payoff
Suppose NittanyLand has two movie theaters, Roar Cinemas and Big Paw Multiplex, that are deciding whether to offer a student discount on tickets. The payoff matrix below shows the profits earned by each firm when they either offer or don't offer the student discount. Assume this is a simultaneous game played only once (i.e. it is not a repeated game). Roar Cinemas and Big Paw Multiplex Payoff Matrix Big Paw Multiplex: Offer Big Paw Multiplex: Don't Offer Roar Cinemas: Offer $500 , $500 $700 , $400 Roar Cinemas: Don't Offer $400 , $700 $600 , $600 Flag question: Question 1 Question 10 pts If Roar Cinemas wants to maximize their own profit, what strategy will they choose? Group of answer choices Roar Cinemas will try to do whatever Big Paw Multiplex does; Offer the student discount if Big Paw does offer it and Not Offer the student discount if Big Paw does not offer it. Roar Cinemas will Not Offer the student discount. Roar Cinemas will try to do the opposite of whatever Big Paw Multiplex does: Offer the student discount if Big Paw does not offer it and Not Offer the student discount if Big Paw does offer it
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