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Airlines Overfill Customers Beyond Their Seating Capacity in Order to Compensate

question 75

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Airlines overfill customers beyond their seating capacity in order to compensate for customers who cancel their booking.This technique is an illustration of which of the following yield management strategies?


Definitions:

Hierarchy Of Authority

A system within an organization where authority and power are ranked from the top (highest authority) to the bottom (lowest authority), determining how decisions flow through the organization.

Bureaucracy

An organizational system characterized by standardized procedures, hierarchical structure, and formal rules, often leading to efficiency at the cost of flexibility.

Span Of Control

The number of subordinates directly reporting to a manager.

Subordinates

Employees or team members who are under the direction and control of a senior manager or supervisor in an organizational hierarchy.

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