The market demand curve in a soap production industry is given by Q = 600 - 3P, where Q is the quantity demanded per month and P is the market price in Rands. Alpha and Thandi are two firms in this industry, and they have identical constant marginal cost of R80 per unit.

1) Find the Cournot equilibrium quantities for each firm. What is the Cournot equilibrium market price?

2) Suppose that Alpha is the Stackelberg leader, find the Stackelberg equilibrium quantities for each firm and price?

3) Using the answers in (a) and (b) calculate and compare the profit of each firm under the Cournot and Stackelberg equilibria.