Suppose securitex is a small firm that has developed a new anti-theft device for automobiles. securitex currently sells its device online and earns profit of $1515 million per year. gm is considering installing securitex's system on its automobiles. the two firms first, however, must bargain over what price gm will pay securitex for its software. gm chooses how much to offer securitex for its system and then securitex chooses whether to accept the offer and install its system on gm's automobiles. the strategies and corresponding profits for gm (gm) and securitex (sx) are depicted in the decision tree to the right. profits are in millions, and gm's payoffs represent the additional profit it can earn on its automobiles with securitex's anti-theft system. what is the subgame-perfect equilibrium

An electronics store is running a promotion where for every video game purchased, the customer receives a coupon upon checkout to purchase a second game at a 50% discount. the coupons expire in one year. the store normally recognized a gross profit margin of 40% of the selling price on video games. how would the store account for a purchase using the discount coupon?

Consider the following two projects. both have costs of $5,000 in year 1. project 1 provides benefits of $2,000 in each of the first four years only. the second provides benefits of $2,000 for each of years 6 to 10 only. compute the net benefits using a discount rate of 6 percent. repeat using a discount rate of 12 percent. what can you conclude from this exercise?

Amanufacturing firm is considering overhauling the existing compensation strategy. currently every front line employee who works on the assembly line earns the same hourly wage. ideally, management would like to institute a new pay system that involves pay-for-performance. which of the following recommendations is both consistent with scientific management's general emphases and generally good advice for management of this firma. the firm should adopt a differential pay system with one pay level for average performance, and a higher level for good performance. b. the firm should adopt a differential pay system, but the firm should modify it from its original design and provide many different levels of pay associated with different performance levels. c. the firm should understand worker psychology and to focus on pay as the key motivator. d. all of the abovee. none of the above