HotwireCom, an Online Travel Company Specializing in Cheap and Discounted

question 50

Multiple Choice

Hotwire.com, an online travel company specializing in cheap and discounted hotel rates and airfares, often asks customers if their travel dates are flexible when pricing their potential bookings. This practice helps Hotwire.com practice price discrimination by allowing it to:

• A) easily distinguish between different groups of buyers.
• B) book reservations for customers who are most likely to travel before those who are less likely to travel.
• C) post higher prices initially and then lower the price based on room availability.
• D) determine which customers are simply comparison shopping and which ones are ready to make a purchase.
• E) offer high prices to customers with flexible travel dates and low prices to those who are on a fixed income.

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Definitions:

Social Isolation

A state where an individual lacks a sense of social belonging, engagement with others, and fulfilling relationships.

Knowledge-Based Processes

Operations or activities that heavily rely on specialized knowledge or expertise to achieve specific outcomes.

Contextual Factors

The various external elements that can influence the performance and operations of an organization, including cultural, social, political, and economic conditions.

Culturally Diverse Groups

Groups made up of members from a variety of cultural backgrounds, emphasizing the importance of inclusivity and understanding in communication and collaboration.