If the Demand for Air Travel Were to Change So

question 115

Multiple Choice

If the demand for air travel were to change so that business travelers and vacationers have the same price elasticity of demand for air travel,

• A) airlines would charge the same price to each type of flyer.
• B) airlines would still charge business flyers a higher fare since the traveler's employer pays anyway.
• C) airlines would be driven out of business.
• D) airlines would counter by charging vacationers a higher fare.

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Competitive Advantage

The attributes that allow an organization to outperform its competitors, including cost structure, product offerings, market positioning, and customer service.

Skills and Technologies

The abilities and knowledge that individuals have, along with the tools and machines they use, to perform specific tasks or solve problems.

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