MBA 658 QUIZ #6 questions with
verified answers
The Nash equilibrium is - ANS ✔✔a pair of strategies, one for each player, in which each player's
strategy is the best response to the other's
Which of the following will improve your bargaining position with customers - ANS ✔✔There
are fewer close substitutes for the product your team supports
Consider a sequential game between a shopkeeper and a haggling customer. The party who
moves first chooses either a high price ($50) or low price ($20) and the second mover either
agrees to the price or walks away from the deal and neither party gets anything. Ignore costs
and assume the customer values the item at $60.If the customer moves first, with a low price
what is the best response of the shopkeeper - ANS ✔✔Accept the low price
Under the non-strategic view of bargaining, the terms of agreement are determined by - ANS
✔✔All of these
Jill, a bookkeeper, just received an attractive offer from an outside firm and so she asks for a
raise from her current employer. If the management of Jill's company is aware of the offer, she
would - ANS ✔✔Have a stronger bargaining position
Sam and Sarah are thinking about getting married. However, if either of them cheats on the
other, they would get a payoff of 10, while the other person gets zero. If neither cheat, they stay
with each other and get a payoff of 7 each and if both cheats, the relationship falls apart and
each get a payoff of 1.What is the Nash equilibrium of this game? - ANS ✔✔Cheat, Cheat
Jim is haggling with a car dealer, along with another customer, over the sale price of a used car.
When he entered the store, the storekeeper was already haggling with the other customer. As
verified answers
The Nash equilibrium is - ANS ✔✔a pair of strategies, one for each player, in which each player's
strategy is the best response to the other's
Which of the following will improve your bargaining position with customers - ANS ✔✔There
are fewer close substitutes for the product your team supports
Consider a sequential game between a shopkeeper and a haggling customer. The party who
moves first chooses either a high price ($50) or low price ($20) and the second mover either
agrees to the price or walks away from the deal and neither party gets anything. Ignore costs
and assume the customer values the item at $60.If the customer moves first, with a low price
what is the best response of the shopkeeper - ANS ✔✔Accept the low price
Under the non-strategic view of bargaining, the terms of agreement are determined by - ANS
✔✔All of these
Jill, a bookkeeper, just received an attractive offer from an outside firm and so she asks for a
raise from her current employer. If the management of Jill's company is aware of the offer, she
would - ANS ✔✔Have a stronger bargaining position
Sam and Sarah are thinking about getting married. However, if either of them cheats on the
other, they would get a payoff of 10, while the other person gets zero. If neither cheat, they stay
with each other and get a payoff of 7 each and if both cheats, the relationship falls apart and
each get a payoff of 1.What is the Nash equilibrium of this game? - ANS ✔✔Cheat, Cheat
Jim is haggling with a car dealer, along with another customer, over the sale price of a used car.
When he entered the store, the storekeeper was already haggling with the other customer. As
