If Delta Airlines Were to Significantly Change Its Fare Structure

question 52

Multiple Choice

If Delta Airlines were to significantly change its fare structure and flight schedule to enhance its competitive position in response to aggressive price cutting by Southwest Airlines, this would be an example of

• A) explicit collusion.
• B) tacit collusion.
• C) competitive dynamics.
• D) a harvest strategy.

---

Definitions:

Analyzed

The process of examining and breaking down data or information in order to gain better insight and make informed decisions.

Chronological Record

A documentation of events in the order of their occurrence.

Source Documents

Original records that contain the details to support business transactions entered in an accounting system, like invoices, receipts, and contracts.

Credited

The recording of an increase in liabilities, revenues, or equity accounts, or a decrease in assets or expense accounts.