Which Might Be a Possible Reason a Cable Television Operator

question 7

Multiple Choice

Which might be a possible reason a cable television operator want to bundle channels together in packages ("tiers") ?

• A)delivering many channels to the consumer is not much more costly than delivering a few.
• B)simplifies the consumer's choice and perhaps lowers administrative costs.
• C)allows the firm to extract revenue from a consumer even if it does not know exactly which channels the consumer likes the most..
• D)all of the above.

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