Update students in 1982. Asks students to find the best strategy for the company to invest in the Philips disc-pressing capacity dedicated to the United States market. The analysis is based on game-theoretic methods (in normal form subgame perfection as the guiding principle of equilibrium). The analysis shows the tension between the competitive pressure for the prevention and the importance of flexibility in the presence of demand uncertainty. "Hide
by Anita M. McGahan Source: Harvard Business School 4 pages. Publication Date: October 17, 1991. Prod. #: 792036-PDF-ENG