Chapter 66, Problem 6MCQ

To determine

To state: the term used for when a firm considers the way its behavior will affect the future actions of its competitors.

Answer to Problem 6MCQ

Correct option is B i.e. strategic behavior.

Explanation of Solution

Strategic behavior is defined as the actions taken by the firms which are envisioned to influence the market environment in which they participate.

A firm participates in strategic behavior when it tries to influence the future behavior of other firms.

So, the term used for when a firm considers the way its behavior will affect the future actions of its competitors is strategic behavior.