Question

The analytical framework in which two or more firms compete for certain payoffs that depend on the strategy that the others employ is

1) game theory.
2) the concentration ratio.
3) a horizontal merger.
4) network effect.

Answer 1

Game theory

Step-by-step explanation:

Game theory - it is model representation of negotiation, the conflict between the organization. This theory helps to know about the reason behind the implementation of theory and also help to understand the consequences of applied theory. The main objective behind the implementation of this theory is to know about positive outcomes that can benefit the parties competing with each other.