Consumers are located uniformly across the street, with their location ranging between 0 and 1. There are two apple sellers in the market (Seller 1 and Seller 2) who must decide where to locate their...

Extracted text: Consumers are located uniformly across the street, with their location ranging between 0 and 1. There are two apple sellers in the market (Seller 1 and Seller 2) who must decide where to locate their shops. Consumers prefers to travel a shorter distance to a seller: (i.e. if Seller 1 is located at 0.3 and Seller 2 is located at 0.8, a consumer located at 0.5 will buy ice cream from Seller 1). If both sellers are in the same location, they split the market. (a) Set-up a matrix for a game in which sellers have one of three options: (i) locating at 0, (ii) locating at 1/2, or (iii) locating at 1; and write down the associated payoffs.