1. Two firms must each choose whether to follow strategy A, B or C. This choice must be made simultaneously and occurs in the context of a one period game. Their payoffs coincide with the profits obtained from each strategy and are given as follows:

a. Write this as a normal form game.

b. What outcome(s) do you predict will arise here? Explain.

c. Do these players face the "prisoners' dilemma?" Explain.