1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Colt1911 [192]
3 years ago
15

Consider the following payoff matrix for a game in which two firms attempt to collude under the Bertrand model:

Business
1 answer:
svlad2 [7]3 years ago
7 0

Answer:

A

Explanation:

Game theory looks at the interactions between participants in a competitive game and calculates the best choice for the player.

Dominant strategy is the best option for a player regardless of what the other player is playing.

Nash equilibrium is the best outcome for players where no player has an incentive to change their decisions.

For either firm, the payoff of cutting price is either 6 or 24

For either firm, the payoff of colluding is either 8 or 12

the dominant strategy for both firms is to cut price because it is the best option regardless of what the other firm does as it yields the highest payoffs.

Thus, the Nash equilibrium is to cut price

You might be interested in
Appling Enterprises issued 8% bonds with a face amount of $400,000 on January 1, 2021. The bonds sold for $331,364 and mature in
lyudmila [28]

Answer:

sry I just wanted the points I'm in middle school so I don't know this stuff either but can you give free brainlyest I'm soo close to my next rank I'd really appreciate it if you would

8 0
2 years ago
What are the three stages at which advertising evaluation occurs, and what do marketers evaluate at each stage? What are the dif
krek1111 [17]

Answer:

There are 3 phases of advertising: Awareness (audience building), Consideration (lead generation and obtaining authority), and Conversion (nurture and sales). Advertising has a history going back millennia. In fact, the origins of advertising go back to ancient times or even earlier, right to the stone age. From rock carvings and papyrus to the radio and T.V. and the latest addition of online advertising, the journey of advertising has been a most metamorphic one.

1. Pre-test and Post Test: Pre-test implies testing advertising message before it is sent to specific media.

2. Communication and Sales Effect Test.

3. Laboratory and Field Test.

4. Experimental and Survey Test.

5. Message and Media Effect Test.

Inquiry tests: It is controlled experiment conducted in the field. In inquiry test, the number of consumer inquiries produced by an advertising copy or the medium is considered as to the measure of its communication effectiveness.

Copy testing often evaluates ad based on demographics and certain changes in the ad are made with respect to its demographics. Memory tests (recall/recognition), direct response tests, persuasion tests, continuous measurement tests, psychological response tests are some of the quantitative methods of copy testing.

(My Answer^)

Explanation:

(Plato Example Answer) : Advertising evaluation can occur at three different stages: during ad in preparation, after the ad launches in the market, and while the ad campaign is running in the market.

During the first stage before the ad’s launch, marketers use pre-testing methods to evaluate an ad’s effectiveness. They help a company identify and correct flaws in its ad copy through trials or surveys. Randomly selected consumers view the ad. Based on the data gathered from their responses, the company will make changes in the ad copy or select one ad from among different ad alternatives. Various aspects of an ad copy, such as colors, message, language, design, etc., might change or gain further approval based on the results of these tests. Pre-testing methods include consumer jury methods such as an order of merit test or paired comparison test, advertising concept test, direct mail test, and in-home projection test.

During the post-testing stage after the ad’s market launch, marketers use post-testing methods to measure ad effectiveness. These tests help in gauging the immediate effect that the ad campaign has had on consumers and determine whether the ad has succeeded in achieving its goals. Post-testing methods also make use of randomly selected samples of respondents from the market. The methods include a rating scale test, day-after recall test, portfolio test, and association test.

The ad campaign is continuing its market run. During this stage, marketers use concurrent testing methods to evaluate ad effectiveness. If properly implemented, the tests can help the company to adapt an ad campaign to make it more effective. Concurrent testing methods also help advertisers to decide which expenses to curtail. These methods depend on observing consumers’ reactions to the ad and thus determining how consumers perceive the ad. Concurrent testing methods include telephone surveys, interview tests, and passers-by count tests.

If I were an advertiser, I would spend money on pre-testing methods because they would help me to make critical changes in an ad’s content before it goes out in the market. These methods of measuring ad effectiveness are more proactive. For instance, an advertising concept test can help in gathering consumer responses regarding various aspects of an advertisement. I would make sure that the sample selected for these tests is large enough so that it would leave little room for uncertainty regarding the ad’s effectiveness. In addition, I would use more than one method to measure the effectiveness of my ad campaign.

4 0
3 years ago
From the buyer's perspective, two key issues determine pricing strategy for most firms: perceived value and:
anzhelika [568]
The answer is price sensitivity

I hope that helped
4 0
3 years ago
In addition to understanding the laws affecting business in countries where their companies operate, it is most important for ma
Anna007 [38]

Answer:

D. Degree of law enforcement

Explanation:

In countries where a company operate, mostly for those operating in a foreign country, it is sacrosanct for the manager to know the laws that will affect their businesses and also the degree of law enforcement for those laws. This is important because there's a lot of variations in business laws and their degree of enforcement amongst various countries and also, rules and regulations concerning business changes from time to time. Hence, emphasis should be place by the manager on understanding the laws and the degree of the laws enforcement.

6 0
4 years ago
After purchasing a digital camera, a consumer debates in his/her mind about whether the choice of purchase was right. This is an
nadya68 [22]

The uncertainty of a customer about his choice after purchasing an item is an example of an Extended decision making.

<h3>What is an Extended Decision?</h3>

This is a response to a decision of high level of purchase followed by a complex evaluation of alternatives and uncertainty of a purchase made.

When a customer starts an extensive deliberation and reconsideration of his choice after purchasing a digital cameral, then he is having an extended decision making process. It might be trigger by the price of the commodity or his choice of an item.

Learn more about Extended Decision here:

brainly.com/question/7029808

6 0
2 years ago
Other questions:
  • Scenario: Sports Stuff Inc. Herb Graham is vice president of Sports Stuff Inc., a business that develops, manufactures, and mark
    13·1 answer
  • Q 9.1: When can interest be included in the acquisition cost of a plant asset?A : during the construction period of a self-const
    13·2 answers
  • What is protectionism and why would a country base trade policy on it? Explain at least two reasons.
    5·1 answer
  • Based on the above table, which services-providing industry gained the most jobs between 1996 and 2006?
    5·2 answers
  • The next dividend payment by Grenier, Inc., will be $1.48 per share. The dividends are anticipated to maintain a growth rate of
    8·1 answer
  • The prepaid insurance account had a balance of $3,000 at the beginning of the year. The account was debited for $32,500 for prem
    15·1 answer
  • Eastern Electric currently pays a dividend of about $1.96 per share and sells for $37 a share. A. If investors believe the growt
    5·1 answer
  • Question 5 of 10
    11·2 answers
  • Which of these people is most likely a freelancer?
    11·2 answers
  • Identify each CSTO from its description
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!