As the Manager of a Ski Resort, You Want to Increase

question 1

Multiple Choice

As the manager of a ski resort, you want to increase the number of lift tickets sold by 8 percent. Your staff economist has determined that the price elasticity of demand for lift tickets is 2. To increase sales by the desired amount, you should decrease the price of a lift ticket by:

• A) 2 percent.
• B) 4 percent.
• C) 8 percent.
• D) 16 percent.

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Definitions:

Internationalization Process

The strategic process that a company undergoes to expand its operations and presence into foreign markets.

Direct Foreign Investment

An investment made by a company or individual in one country in business interests in another country, in the form of either establishing business operations or acquiring business assets.

Ethnocentric Attitude

Holding the belief that one's own culture, nation, or ethnicity is superior to others, often leading to bias and prejudice.

Individualistic Culture

A culture that emphasizes the needs and goals of the individual over the needs and goals of the group.