Question

Your company's new portable phone/music player/PDA/bottle washer, the RunMan, will compete against the established market leader, the iNod, in a saturated market. (Thus, for each device you sell, one fewer iNod is sold.) You are planning to launch the RunMan with a traveling road show, concentrating on two cities, New York and Boston. The makers of the iNod will do the same to try to maintain their sales. If, on a given day, you both go to New York, you will lose 900 units in sales to the iNod. If you both go to Boston, you will lose 650 units in sales. On the other hand, if you go to New York and your competitor to Boston, you will gain 1,600 units in sales from them. If you go to Boston and they to New York, you will gain 600 units in sales. What fraction of time should you spend in New York and what fraction in Boston?

You should spend of your time in New York and in Boston.

How do you expect your sales to be affected?

The expected outcome is a net gain in RunMan sales. The expected outcome is a net loss of RunMan sales.     The expected outcome is no net gain or loss of RunMan sales.

Answer 1