Consider an airline with 390 potential customers (seats) - the number willing to pay at least the airline's $100 variable cost and the maximum willingness to pay is $3900. Calculate the price points for the airline company, if it can only set 3 prices. The highest price at which the tickets should be sold is?

Answer rating: 100% (QA)

To determine the optimal pricing strategy for the airline company we can use the approach of price d... View the full answer