In a Competitive Situation Involving the Adoption of a Common

Multiple Choice

In a competitive situation involving the adoption of a common standard by all firms in the industry:

A) each player should always adopt his own preferred standard to maximize profit.
B) each player will adopt the strategy that maximizes collective profits.
C) a dominant strategy equilibrium will result.
D) there will be multiple equilibria with different strategies adopted by each player.
E) coordination will reduce the payoffs to each player.