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Yakvenalex [24]
2 years ago
8

Combining the razor-razor-blade model and the subscription model means that telecom providers make their money through lengthy s

ervice plans, which in turn means that it is crucial that they keep their ______ rate, or the proportion of subscribers who leave, down.
Business
1 answer:
katrin [286]2 years ago
3 0

The combined models led to the crucial decision that the telecom provider should keep their <u>churn rate</u> or the proportion of subscribers will leave.

<h3>What is a churn rate?</h3>

This refers to the annual percentage rate at which customers stop subscribing to a service or employees leave a job.

Hence, the razor-razor-blade model and the subscription model led to the crucial decision that the telecom provider should keep their <u>churn rate</u> or the proportion of subscribers will leave.

Read more about churn rate

<em>brainly.com/question/14762684</em>

#SPJ1

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Which of the following statements about the price elasticity of demand is correct The absolute value of the elasticity of demand
notsponge [240]

Answer:

Demand is more elastic in the long run than it is in the short run

Explanation:

Elasticity of demand measures the responsiveness of quantity demanded to changes in price.

Demand is more elastic in the long run than it is in the short run because in the long run consumers have more time to search for suitable substitutes.

When the absolute value of elasticity of demand is less than one, demand is inelastic.

When the absolute value of elasticity of demand is equal to one, demand is unitary.

When the absolute value of elasticity of demand is greater than one, demand is elastic.

Demand is less elastic the smaller the percentage of the consumer's budget the item takes up. 

The elasticity of demand for a specific brand of good doesn't translate into the elasticity of demand for the good.

I hope my answer helps you

4 0
3 years ago
Accounting professors earn more than English professors at most universities. Explain this with a supply and demand graph.
GenaCL600 [577]
I will assume here (since I don't have more information) that each school needs one English and one Accounting professor, but that more people are ready to teach English than accounting (this assumption might be wrong, but it's what  think)

therefore the supply is bigger for the English professors than for the Accounting professors -this means that the accounting professors can ask for bigger salary (the bigger the supply, the smaller the prize)

3 0
3 years ago
Wal-Mart was one of the most successful firms of the 1970s and 1980s. Much of Wal-Mart's success can be credited to its expansio
enyata [817]

Answer:

The correct answer is letter "D": Wal-Mart employed a preemptive strategy.

Explanation:

Game Theory is a branch of Economy that studies the decisions in which an individual could succeed if he or she takes into account the decisions of the rest of the participants involved in the event. Game Theory has also been applied for subjects such as <em>Mathematics, Managements, Psychology </em>or <em>even Biology. </em>

In the game theory, the Preemptive Strategy is implemented when individuals take a step before other participants in an attempt of having a favorable outcome of the situation. They lead the event using creativity. Thus, <em>Wal-Mart used the preemptive strategy by opening stores in small towns that supported only one discount store.</em>

8 0
3 years ago
Arnell Industries has $35 million in permanent debt outstanding. The firm will pay interest only on this debt. Arnell’s marginal
Bas_tet [7]

Answer:

a) $0.5145 million

b) $7.35 million

Explanation:

Given:

Permanent debt outstanding = $35,000,000

Expected marginal tax rate = 21%

a) Suppose they pay an interest of 7% per year on debt. Find the annual interest tax shield.

To find annual interes tax shield use the formula below:

Annual interest tax​ shield =Total par value of Debt × interest rate × tax rate

= $35,000,000 × 7% × 21%

= $35,000,000 × 0.07 × 0.21

= $514,500

Annual interest tax​ shield = $0.5145 million

b) What is the present value of the interest tax shield, assuming its risk is the same as the loan?

Use the formula:

Present value of the interest tax​ shield = Annual interest tax​ shield /loan interest rate

= $514,500 / 7%

= $7,350,000

present value of the interest tax​ shield = $7.35 million

3 0
2 years ago
Refer to the scenario below to answer the following question(s). Giant Beanstalks is a company based in Maryland that processes
creativ13 [48]

Answer:

Exclusive distribution

Explanation:

Exclusive distribution is defined as an agreement between a producer and retailer that gives the exclusive right to a retailer to distribute the products of a supplier within a given geographical location. Only one distributor is used by the supplier within a given area.

In the secanrio given Giant Beanstalk a company that processes and cans vegetables, recieves raw materials from over 80 companies. It only gives distribution rights to Greenleaf a grocery chain with 38 stores in the country.

5 0
3 years ago
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