Question
There are only 2 cell phone companies, Apple and Samsung, what is the ((Nash) Equilibrium) or price that each company in the following matrix will
- There are only 2 cell phone companies, Apple and Samsung, what is the ((Nash) Equilibrium) or price that each company in the following matrix will charge? At that price, what are the profits for each company? Note that the first number listed in bold is the profit for Apple and the second number listed that is in italics is the profit for Samsung
- Can Apple and Samsung Collude to increase their profits? Why or why not?
Samsung $999 $1,099 $1,199 Apple
$999 $13,000
$22,000
$16,000
$19,000
$20,000
$16,000
$1,099 $12,000
$18,000
$15,000
$15,000
$18,000
$13,000
$1,199 $9,000
$14,000
$13,000
$1,2000
$16,000
$10,000
| Samsung | ||||
| $999 | $1,099 | $1,199 | ||
| Apple | $999 | $13,000 $22,000 | $16,000 $19,000 | $20,000 $16,000 |
| $1,099 | $12,000 $18,000 | $15,000 $15,000 | $18,000 $13,000 | |
| $1,199 | $9,000 $14,000 | $13,000 $1,2000 | $16,000 $10,000 |
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International Marketing And Export Management
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr
8th Edition
1292016922, 978-1292016924
