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Formulating information as a game

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Formulating information as a game

Published by Brilliant Ravens

A student team was planning strategy for a management game being played in
one of their classes. They had to decide whether to price their firm’s products
high or low. They know that their subsequent profits in either case depended
on whether the economy moved up or down – a variable controlled by the
instructor. They estimated that a high price in an upward economy would net
Sh. 5 million in profit but a low price would yield Sh. 3 million profit. If

the economy went down, a high price would net Sh. 2 million and a low price Sh. 1
million in profit.
Required:
Formulate the above information as a game and determine the students’ best
strategy.

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