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Scenario 15-5 An Airline Knows That There Are Two Types of Travelers

question 247

Multiple Choice

Scenario 15-5
An airline knows that there are two types of travelers: business travelers and vacationers. For a particular flight, there are 100 business travelers who will pay $600 for a ticket while there are 50 vacationers who will pay $300 for a ticket. There are 150 seats available on the plane. Suppose the cost to the airline of providing the flight is $20,000, which includes the cost of the pilots, flight attendants, fuel, etc.
-Refer to Scenario 15-5. How much additional profit can the airline earn by charging each customer their willingness to pay relative to charging a flat price of $600 per ticket?

Comprehend the role of information technology in optimizing supply chain processes.

Evaluate the impact of logistical decisions on cost-effectiveness and customer satisfaction.

Understand customer requirements and their influence on supply chain decisions.

Recognize the ethical and practical implications of supply chain and logistics management practices.

Definitions:

Adult Trespassers

Individuals who enter property without permission or legal right and are considered capable of understanding their trespass, impacting the duty of care owed to them by property owners.

Restatement Second Torts

A legal treatise from the American Law Institute that summarizes the general principles of common law torts in the United States.

Reasonably Safe

A standard requiring that a product, environment, or practice should not pose significant harm to individuals when used or engaged in as intended, taking into account possible preventive measures.

Strictly Liable

Refers to the legal responsibility of a party for damages or loss, regardless of fault or negligence.