Business, 01.08.2020 23:01 kayleetweedy1

2. You are considering entry into a market in which there is currently only one producer (incumbent). If you enter and the incumbent prices low (fights) then you will both lose 10 million. If you enter and the incumbent accommodates than you both will earn 3 Million. If you stay out of the market you will earn nothing and the incumbent will earn 7 million. What is the best strategy for you as the entrant in the market.

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2. You are considering entry into a market in which there is currently only one producer (incumbent)...