If consumers are distributed between $0$ and $1,$ the size of the market is worth $$1$million and each location costs $$200,000.$ In order to prevent entry an incumbent firm must place a brand at how many locations?

Select an answer and submit. For keyboard navigation, use the up$/$down arrow keys to select an answer.

a

$2$

b

$3$

c

$4$

d

$5$

$6,2$

$2,3$

Middle

$2,2$

$3,2$

$5,1$

$4,0$

Down

$1,4$

$2,2$

$2,3$

$3,2$

Q$1$

HomeworkUnansweredDue Today, $11$:$59$ PM

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What is the best response to Down?

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a

A

b

B

c

C

d

D

A

B

C

D

Up

$5,3$

$2,8$

$6,2$

$2,3$

Middle

$2,2$

$3,2$

$5,1$

$4,0$

Down

$1,4$

$2,2$

$2,3$

$3,2$

Q$1$

HomeworkUnansweredDue Today, $11$:$59$ PM

Mark as:

None

correct answers are hidden

What is the best response to Down?

Select an answer and submit. For keyboard navigation, use the up$/$down arrow keys to select an answer.

a

A

b

B

c

C

d

D