This regret matrix gives potential dollar values in thousands for strategies S1, S2, S3, and S4 for Al's Fish Fry and competitive strategies CA1, CA2, and CA3 for Sal's Fish Bake.If Al chooses S3, what kind of strategy is he using?
A)minimax
B)maximin
C)maximax
D)minimin

Question

This regret matrix gives potential dollar values in thousands for strategies S1, S2, S3, and S4 for Al's Fish Fry and competitive strategies CA1, CA2, and CA3 for Sal's Fish Bake.If Al chooses S3, what kind of strategy is he using? 
A)minimax 
B)maximin 
C)maximax 
D)minimin

Quizplus · Accepted Answer

If Al chooses S3, then the potential outcomes for each competitive strategy are: 
- CA1: (50, 30, 20)
- CA2: (10, 50, 60)
- CA3: (30, 20, 10)

To use the maximax strategy, Al would choose the strategy with the highest potential outcome for each competitive strategy. The maximum outcomes for each competitive strategy are: 
- CA1: 50
- CA2: 60
- CA3: 30

Therefore, the maximum potential outcome if Al chooses S3 is 30 thousand dollars, which is the best option out of all potential outcomes.

This Regret Matrix Gives Potential Dollar Values in Thousands for Strategies