and 3 Being able to conduct almost all operations electronically without the

And 3 being able to conduct almost all operations

  • Rutgers University
  • MARKETING 301
  • Notes
  • bigbobsnotes
  • 227
  • 96% (67) 64 out of 67 people found this document helpful

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enables them to reserve hotel rooms or airline seats that would otherwise go unsold. and 3) Being able to conduct almost all operations electronically, without the warehousing and order fulfillment problems of their brick-and-mortar dot-com cousins. AACSB: 3 LL: 2 Learning Objective: 13-04 Describe what price elasticity of demand means to a manager facing a pricing decision 13-186
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Chapter 13 - Building the Price Foundation 197.(p. 335)While hundreds of dot-coms failed, many travel dot-coms still seem to be thriving. One reason for their success may be attributed to A. during good economic times people travel for fun and during bad economic times people travel to escape reality even if they can't afford it.B. the travel industry overcame consumer skepticism almost a decade ago when timeshares became more reliable, thus reducing consumer inhibitions about purchasing travel products online.C.being able to conduct almost all operations electronically, without the warehousing and order fulfillment problems of their brick-and-mortar dot-com cousins.D. there were only a limited number of clever names associated with air travel so it was first come first serve for domain names. With fewer competitors, travel dot-coms have been able to survive and thrive.E. they were able access to airline and hotel customer databases before Internet privacy laws were enacted. There are several reasons attributed to travel dot-com success: 1) Reaching key customer segments that will actually pay higher prices for hotel rooms or airline tickets. 2) Finding customer segments (students, senior citizens) whose last-minute or last week flexibility enables them to reserve hotel rooms or airline seats that would otherwise go unsold. and 3) Being able to conduct almost all operations electronically, without the warehousing and order fulfillment problems of their brick-and-mortar dot-com cousins. AACSB: 3 LL: 2 Learning Objective: 13-04 Describe what price elasticity of demand means to a manager facing a pricing decision 198.(p. 333)All things being equal, if a firm finds the demand for one of its products is inelastic, it can increase its total revenues by With inelastic demand, price reduction causes the quantity sold to increase but total revenue actually decreases. So with inelastic demand while a price increase causes the quantity sold to decrease, the total revenue increases. AACSB: 3 LL: 2 Learning Objective: 13-04 Describe what price elasticity of demand means to a manager facing a pricing decision 13-187
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Chapter 13 - Building the Price Foundation
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