One strategy used by many firms that might affect the payoff matrix is the Low Price Guarantee.

   Because the Low Price Guarantee means the firms must match one another's prices the benefits of "cheating" will be reduced, as this payoff matrix indicates. For example, if Firm 1 reduces prices it will find that its profits will fall rather than rise. The effect of the Low Price Guarantee has been to make collusion a Nash equilibrium. This makes collusion far more stable.

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