Chapter 13 Application – Monopolistic Competition and

Oligopolies
1. Watch the video clip, “Buc-ee’s Key to Success? Clean Bathrooms” (02:03 mins, “Buc-ees
Key to Success” Transcript) and explain how Buc-ee’s has different differentiated
themselves. (if link does not work, access the clip here: https://youtu.be/5fmmFO3uf90 )
The differentiation that Buc-ee´s has from others is the fact of the cleanness. The obsession for
clean, people go to that place to use bathrooms because clients knows that it will be clean.
2. Highlight a movie or TV show that demonstrates game theory. Use the following link if
needed: http://www.gametheory.net/popular/film.html
Return to Paradise.
Because the game theory suggest that decisions are taken by extern agent and in this case
the friend of the prisoner should be dead if he refuses to confess.
3. Watch the following video segments from “Game Theory: Lost in New York” (22:28 mins,
“Lost in New York” Transcript)
a. Summarize what happens and explain how game theory is used in business.
There are 6 couples who start a game in which they are divided in some places in New York.
The objective is that they look for the other couples trying to guess how they would think, and
where they would go. This is a similarity to what happens in business when looking for ways to
generate profits and the best way is to anticipate the movements of other companies, to take a
competitive advantage.
b. If this event were to take place in the city where you live today, where would you go
and what would you do?
I am living in Ecuador, so if this happens to me, I probably go to a shopping and enjoy a
milkshake and with peace, try to plan how to find the others, plan how they should think.
4. Go to www.stickk.com and explain how the site provides an incentive or disincentive to
meet your goal.
 http://www.bbc.com/news/magazine-16436251
The website in the first instance, asks that an agreement be created, which aims to fulfill the
intentions for which it was created, which are to set goals and achieve them. There are goals,
such as getting money, losing weight, quitting smoking, among others. The same website helps
track goals. Many of these things encourage you to be able to achieve your goals, there are
other things as well, such as testimonials from people who have used that website to achieve
their goals. I hardly see anything that disincentive just incentive things…
5. Report on the current price of your stock and discuss what has caused the price change.
Pick a product that the company provides and discuss how the company has differentiated it
from other competitors.
Amazon.com, Inc. (AMZN)
NasdaqGS - NasdaqGS Real Time Price. Currency in USD
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3,675.74+164.76 (+4.69%)
At close: 4:00PM EDT

The price has increased during this week because it was the end of an era Jeff Bezos in
Amazon. He has just left the Amazon firm to pursue other businesses, which has caused stocks
to increase in value rather than lose in an unprecedented way. This is due to the differentiation
that Amazon has from many of its competitors, its obsession with customer service has been
the main differentiator and the key to its success until now.