solve

Consider a sequential-move game in which an entrant is considering entering an industry in competition with an incumbent firm. If the entrant does not enter (\"Out\"), the incumbent firm earns a payoff of 10, while the entrant earns a payoff of 0. If the entrant enters ("In"), then the incumbent can either accommodate or fight. If the incumbent accommodates, both earn a payoff of 5. If the incumbent fights, then the entrant can either leave the industry (' Withdraw\") or remain in it (' Stay\"). If the entrant stays, both eam a payoff of -5. If the entrant withdraws, the entrant earns a payoff of - 1, and the incumbent earns a payoff of 8. The extensive form of the game is depicted in the following figure, where the payoffs are of the form (Entrant Payoff, Incumbent Payoff). Entrant Entrant (5,5) (0,10) (-5,-5) (-1,8) True or False: The equilibrium for this game is {In, Fight, Stay}. True False