If a firm does NOT know its rival's profit function, then we consider that information to be
A)irrelevant in deciding its best strategy.
B)private.
C)common knowledge.
D)Pareto sub-optimal.

Question

Quizplus · Accepted Answer

When a firm does not know its rival's profit function, the information about the rival's profit function is considered private. This means that the information is known to the rival firm but not to others, affecting strategic decisions in competitive markets.

If a Firm Does NOT Know Its Rival's Profit Function