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Question: In a small town, there are two discount stores ABC and XYZ. They are the only stores that handle the festival goods. The total number of customers is equally divided between the two because the price and quality of goods sold are equal. Both stores have good reputations in the community, and they render equally good customer services. Assume that a gain of customer by ABC is a loss to XYZ and vice versa. Both stores plan to run annual pre-Christmas sale during the first week of December. Sales are advertised through the local newspaper, radio and television media. With the aid of advertising the payoff for ABC store is constructed and given below. XYZ store Newspaper radio Television Newspaper 30 40 -80 ABC radio 0 15 -20 Television 90 20 50 Find optimal strategies for both stores and the value of the game.

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