The Stackelberg model mainly describes how a leader and follower relationship is maintained and formed. The firms which have good brand equity are called the leader whereas the firm whose brand has lower equity is called the follower. The leader is the one who decides the pricing and quality of the product and this is followed by the follower to maintain the market share of its company.The Bertrand model is when two industries are equal in size and an operation i.e. there is ‘symmetry’ in the companies. The firm sets a low price for a product which matches the production cost. This helps in maintaining dominance in the market.