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Table 14-1 LimoZeenz and AirPorter and Are the Only Two Airport Shuttle

Question 102

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Table 14-1
Table 14-1     LimoZeenz and AirPorter and are the only two airport shuttle and limousine rental service companies in the mid-sized town of Shady Shores. Each firm must decide on whether to offer its customers a mid-week discount for airport transportation. Table 14-1 shows the payoff matrix for profits earned by each company based on either offering or not offering the discount. -Refer to Table 14-1.What is the Nash equilibrium in this game? A) There is no Nash equilibrium. B) LimoZeenz offers the discount, but AirPorter does not. C) AirPorter offers the discount, but LimoZeenz does not. D) Both LimoZeenz and AirPorter do not offer the discount.
LimoZeenz and AirPorter and are the only two airport shuttle and limousine rental service companies in the mid-sized town of Shady Shores. Each firm must decide on whether to offer its customers a mid-week discount for airport transportation. Table 14-1 shows the payoff matrix for profits earned by each company based on either offering or not offering the discount.
-Refer to Table 14-1.What is the Nash equilibrium in this game?


A) There is no Nash equilibrium.
B) LimoZeenz offers the discount, but AirPorter does not.
C) AirPorter offers the discount, but LimoZeenz does not.
D) Both LimoZeenz and AirPorter do not offer the discount.

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