Consider a Hotelling linear city where four firms simulta- neously decide their own locations 0 ...

 

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Consider a Hotelling linear city where four firms simulta- neously decide their own locations 0 ≤ 0, ≤ 1 (i=1,2,3,4) to sell their products. Suppose that one-ninth of consumers lives at a location z = 0, one-twelfth of consumers lives at a location = 1, and the remaining 29/36 of consumers live uniformly between z = 0 and x = 1. In the Nash equilibrium, where is the location of the firm from which consumers who live at a location r=0 will buy a product? In the Nash equilibrium, where is the location of the firm from which consumers who live at a location = 1 will buy a product? In the Nash equilibrium, what is the maximum distance for which con- sumers must travel to buy a product from the closest firm? Consider a Hotelling linear city where four firms simulta- neously decide their own locations 0 ≤ 0, ≤ 1 (i=1,2,3,4) to sell their products. Suppose that one-ninth of consumers lives at a location z = 0, one-twelfth of consumers lives at a location = 1, and the remaining 29/36 of consumers live uniformly between z = 0 and x = 1. In the Nash equilibrium, where is the location of the firm from which consumers who live at a location r=0 will buy a product? In the Nash equilibrium, where is the location of the firm from which consumers who live at a location = 1 will buy a product? In the Nash equilibrium, what is the maximum distance for which con- sumers must travel to buy a product from the closest firm?

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