Strategic behavior refers to
A)the situation in which what is best for firm A depends on what firm B does, and what is best for firm B depends on what firm A does.
B)the behavior of monopoly firms that must take into account the actions of competitors.
C)the situation in which what is best for firm A depends on what firm A does, and what is best for firm B depends on what firm B does.
D)the behavior of a firm attempting to increase its profits at the expense of competitors.
E)the behavior of firms in monopolistic competition.

Question

Quizplus · Accepted Answer

Strategic behavior is the behavior of firms that must take into account the actions of their rivals in order to achieve their own goals. Option A describes a situation commonly seen in strategic behavior, where each firm's optimal strategy depends on the decisions made by its rivals.

Strategic Behavior Refers to