will rate

Burger Doodle, the incumbent firm, wishes to set a limit price of $8 (rather than the profit-maximizing price of $12) to prevent Designer Burger from entering its profitable market. The game tree above shows the payoffs for various decisions. Burger Doodle makes its pricing decision, then Designer Burger decides whether to enter or stay out of the market. If Designer Burger chooses to enter the market, then Burger Doodle may or may not decide to accommodate Designer's entry by changing its initial price to the Nash equilibrium price of $10. Designer B., B. Doodle P = $8 -$40,000, $75,000 Enter 3 P= $8 B. Doodle PN = $10 2 $25,000, $96,000 Designer B. Stay out 0, $125,000 P= $12 $95,000, $100,000 B. Doodle Enter 3 P= $12 B. Doodle PN = $10 2 $25,000, $101,000 Stay out Designer B. 0, $165,000 If the condition in the question 67 is NOT met, Burger Doodle will set price equal to $_ of profit while Designer Burger will earn $. of profit at decision node 3 and it will earn $ Multiple Choice 8; 125,000,0 8; 75,000:-40,000 10: 101,000, 25,000 10: 96,000. 25,000 8, 125,000,0 8, 75,000: -40,000 10, 101,000; 25,000 10: 96,000. 25,000 12, 165,000,0