Please answer question e

c. There are two niches in a market of electronic sensors, one is size (where smaller sensors are preferred) and the other is performance (where high performance sensors are preferred). Two rms, A and B, must simultaneously choose which niche to target their product to. The payoff matrix is shown below, where prots are listed in millions of dollars. Performance A makes $3 A makes $10 B makes $2 B makes $3 Company A Size A makes $4 A makes $1 1 B makes $4 B makes $2 Find all of the Nash equilibria, if any. Performance Size (1. Now suppose rm A has the opportunity to move rst, choosing its niche before rm B. Use a tree diagram to show which niche will company A choose? 6. How much would rm A be willing to pay to B so that A could move rst? The alternative is to keep playing the current game. What would rm B need to do to ensure that rm A was prepared to pay to go rst