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Frequent Fliers If You Think George Clooney's Character in the Movie Up

question 107

Multiple Choice

Frequent Fliers
If you think George Clooney's character in the movie Up in the Air was pure fiction,think again.Clooney portrayed a frequent flier who enjoyed top-of-the-line perks the likes of which even most "elite" fliers don't experience.That's because he was a member of American Airline's invitation-only ConciergeKey recognition program.Most airlines maintain these unpublished super elite frequent-flier plans,such as Continental's Chairman's Circle and Delta's Executive Partner programs.These programs are reserved for the highest-volume customers in terms of miles flown or highest-value in terms of revenue.You'll have to fly upwards of 300,000 miles or spend $50,000 a year to be invited.
-Refer to Frequent Fliers.Airlines have estimated the future value of these elite fliers and found that they are very profitable for their business.What technique did the airlines use to project the future value of these fliers over a period of several years?

Definitions:

Selling

The process of persuading someone to buy a product or service, involving communication and negotiation skills.

Path-Goal Contingency Leadership Theory

A theory suggesting that a leader's effectiveness is determined by how well they enhance their followers' performance and satisfaction by offering guidance, support, and motivational incentives.

Clarify the Path

The process of making the steps or route to achieving a goal or task more understandable and less ambiguous.

Contingency Theory of Leadership

A leadership concept suggesting the effectiveness of a leader's style is contingent on the context or environment.