As a coffee shop owner in a small town, you face a significant decision regardingyour business strategy, and its crucial to make an informed choice. Your competitor,another coffee shop owner in the town, is also pondering the same decision. Heresthe situation:If both you and your competitor choose to expand your businesses, there willbe increased competition, resulting in a slight decrease in profits for both ofyou.If one of you chooses to expand while the other chooses to maintain the statusquo, the one who expands will gain significant profits, while the other will losesome business but maintain a decent profit.If both you and your competitor choose to maintain the status quo, you willcontinue to earn your usual profits without any additional costs.Neither you nor your competitor can communicate during this process, andyour decisions are independent of each other.What strategy would you select in this business scenario, and what factors influenceyour choice? How do you predict your competitor will decide, and what outcomesdo you anticipate for both of your coffee shops? Please provide your reasoning,considering the potential consequences of your choices in this business context.