Assume that: each buyer has a maximum willingness to pay of $249 for one unit of either the incumbent's or the entrant's product; and, both the incumbent and the entrant have a $120 unit cost for serving buyers. What is the best strategy for the entrant? [identify the best p and N] 

How much money does it make? How much money does the incumbent make? 

How much VALUE does the entrant add in the game? Justify your answer with several reasons

Answer rating: 100% (QA)

Best Strategy for the Entrant Price p 121 one dollar above cost Quantity N Any number of units great... View the full answer