When an Airline Goes After a "Share of Travel" from Its

question 111

Multiple Choice

When an airline goes after a "share of travel" from its customers,it is attempting to increase ________.

• A) partner equity
• B) share of customer
• C) profit margins
• D) customer-managed relationships
• E) customer ownership

---

Definitions:

u(X,Y)

A utility function representing the satisfaction a consumer gets from consuming quantities of goods X and Y.

MRS

Marginal Rate of Substitution, an economic concept that describes the rate at which a consumer is willing to give up one good in exchange for another good while maintaining the same level of utility or satisfaction.

Market Basket

A selected set of goods and services used to track changes in prices and measure inflation over time, reflecting the typical consumer's spending.

Marginal Utility

The increased happiness or advantage gained from the consumption of an additional unit of a good or service.