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Dell and HP Must Both Simultaneously Prices for Their New

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Dell and HP must both simultaneously prices for their new laptops.They can both either choose to set a Low or High price.The payoffs are as follows.If both firms set a Low price, Dell gets 5 and HP 6.If both firms set a High price, the payoffs are 7 to Dell and 8 to HP.If Dell sets a High price and HP chooses Low, the payoffs are 3 to Dell and 10 to HP.If Dell sets a Low price and HP opts for High, the payoffs are 9 to Dell and 1 to H.What is the Nash equilibrium?


A) (Low, High) , where the first strategy is Dell's and the second HP's.
B) (High, Low) , where the first strategy is Dell's and the second HP's.
C) (High, High) , where the first strategy is Dell's and the second HP's.
D) (Low, Low) , where the first strategy is Dell's and the second HP's.
E) None of the above.

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