Why Walmart is giving its produce section a makeover
Questions
- What is “Produce 2.0”?
- The news article states that Walmart has “lowered prices on produce in recent years to compete with rivals”. Suppose that Walmart is playing a game with Aldi. What are the strategies of both firms?
- Design a payoff matrix for this game. What is the Nash equilibrium of your game?
- Does your game give the best outcome for both firms? Why or why not?
- What is the dilemma faced by both firms?