Question: 1. We return to the Fenerbahe Stadium pricing problem, assuming a capacity of 60,000 seats and the demand curves for students and for the general

 1. We return to the Fenerbahe Stadium pricing problem, assuming a

1. We return to the Fenerbahe Stadium pricing problem, assuming a capacity of 60,000 seats and the demand curves for students and for the general public as given below: General public: de(Pg) = (120,000 - 3,000p) Students: .(P.) = (20,000 - 1,250p.) * Assume that 5% of the general public will masquerade as students (perhaps using borrowed ID cards) in order to save money. Assuming that Fenerbahe knows that, what are the optimal prices for student tickets and general public tickets it should set in this case? What is the total revenue, and how does it compare to the case without cannibalization? What does this about the amount that Fenerbahe would be willing to pay for such devices as photo ID cards in order to eliminate cannibalization? say 2. An earthquake damages Fenerbahe Stadium so that only 53,000 seats are available for the Big Game. What is the optimal single price and the total revenue? What are the optimal separate prices to charge for students and the general public and the corresponding total revenue? What is the "opportunity cost" per seat for the 7,000 unavailable seats in both cases

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