A food product company is contemplating the introduction of a revolutionary raw product with new packaging or replace the existing product at much higher prices (s1) or a moderate change in the composition of the existing product with new packaging at small increase in pprice (s2) or a small change in the composition of existing product except the word new with a negligible increase in price )(s3) the 3 possible state of nature or events are: (1)high increase in sales(n1) (2)no change in sales(n2)(3)decrease in sales(n3).the marketing department of the company worked out the payoffs in terms of yearly net profits for each of the strategies of three events (expected sales).this is represented in the following table: States of nature Strategies N1 N2 N3 S1 7,00,000 3,00,000 1,50000 S2 5,00,000 4,50,000 0 S3 3,00,000 3,00,000 3,00,000 Which strategy is to be considered Maximin criterion, Maximax criterion, Minimax regret criterion
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