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Use the 2-by-2 one-shot simultaneous game below to analyze Sony's and Microsoft's short-run pricing decision. First, calculate short-run profits for each firm for both prices

Use the 2-by-2 one-shot simultaneous game below to analyze Sony's and Microsoft's short-run pricing decision. First, calculate short-run profits for each firm for both prices -- you will be calculating 8 profit scenarios (4 for each firm). Assuming this is a short-run pricing decision, so variable costs, not fixed costs, are most relevant. Please consider production labor, materials and parts, and distribution as variable costs

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