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Economics, Econometrics
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Assessment of Current Fare and the Maximizing of Profits
Need help with an assessment of whether the current fare maximizes profits
My instincts say no. If not, need help identifing the fare that should be charged. Looking for evidence that it is the best fare by showing that profits are highest if this fare is charged.
Notes: Comment on the suggestion that the company could use price-discrimination strategies to improve profitability, and I do not believe fuel costs should be used as a basis for pricing.
My notes are attached, and my spreadsheet is solid.
By OTA: Jiong Tu, PhD (IP)
OTA Rating: 4.8/5
Your Price: $2.19 (original value ~$99.75)
What's included:
- Plain text response
- Attachment(s):
- x_notes.doc
- x_spreadsheet.xls
Invest in New Product or Shift Focus? - Provide a recommendation for whether the company should begin producing the new soundcard and, if the company should begin production, in which production technology should the company invest?
Please see file attached, thank you for your help.
Pricing analysis - Please see attached.
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REQUIREMENTS
1 Excel Spreadsheet - Completed Customer Demand Data spreadsheet
1 Memo Report - Analysis of Current and Proposed Pricing Strategy for Profitability
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