-The Snake River Company and the Loblolly River Company are considering their respective advertising campaigns. Figure 2.10 summarizes the possible payoffs (in thousands of dollars) to each company from each combination of advertising strategies. The Snake River Company has a:
A) Weakly dominant strategy.
B) Nondominant strategy.
C) Strictly dominated strategy.
D) Iterated weakly dominated strategy.
E) None of the above.

Question

-The Snake River Company and the Loblolly River Company are considering their respective advertising campaigns. Figure 2.10 summarizes the possible payoffs (in thousands of dollars) to each company from each combination of advertising strategies. The Snake River Company has a:
A) Weakly dominant strategy. 
B) Nondominant strategy. 
C) Strictly dominated strategy. 
D) Iterated weakly dominated strategy. 
E) None of the above.

Quizplus · Accepted Answer

A weakly dominant strategy is one that results in at least as good an outcome as any other strategy no matter what the other player does, and strictly better in some cases. The Snake River Company has a strategy that meets this definition, making it the correct choice.

-The Snake River Company and the Loblolly River Company Are