Suppose each consumer in a given market has a demand curve given by q=64-4p for a product
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Question:
Suppose each consumer in a given market has a demand curve given by q=64-4p for a product sold only by one firm.
MC is $6 per unit
A. what is the revenue maximizing uniform price
B. What is the profit maximizing price
C. What is the profit maximizing two part tariff (ie p and Fee)
D. Suppose the manufacturer also sells the product directly to consumers online for a per unit price of $12, effectively competing with you for consumers. What is the profit maximizing 2 part tariff
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