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UE S'I'IDN 2 (a) IBM and Toshiba are each considering introducing two operating systems DOS and UNIX. When they launch the same system, their prots
UE S'I'IDN 2 (a) IBM and Toshiba are each considering introducing two operating systems DOS and UNIX. When they launch the same system, their prots are higher than when they launch different systems. The normal-form game below shows their prots in thousands of dollars. can can 1m} 1m} ma, l can, can (i) Identify the dominant strategy for each player, if any. Find the Nash Equilibria. {2 marks) (ii) Does either IBM or Toshiba have an incentive to be the rst mover? Explain your answer clearly using game trees and show the Sabgamc Perfect Nash Equilibrium in each case. {15 marks) (b) In a Prisoner\" s Dilemma, if the game is repeated for many periods, identify four factors that can lead to a cooperative outcome. (4 marks}
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