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spayn [35]
2 years ago
5

snowpeak ski resort offers a price for a lift ticket that is barely over its marginal cost, but the high equipment rental fee ke

eps generating big profits. which pricing strategy is the management using?
Business
1 answer:
nadya68 [22]2 years ago
8 0

Based on the fact that Snowpeak Ski Resort offers prices for lifts that are barely over their marginal cost but still make profits from high equipment rental, the pricing strategy in use is Cross-subsidization.

<h3>What is Cross-subsidization?</h3>

This is a pricing strategy that allows a company to charge one group of customers a higher amount for goods sold or services rendered while charging another group of customers a lower amount for other goods and services.

The logic is that the profits from the higher priced goods will take care of the marginal profits from the smaller cost goods and services.

Companies do this because they know that there are services that they can offer that will be easier to sell to people at a higher cost than a lower one. This is what Snowpeak Ski Resort is doing by using the rental fee of equipment to make profits.

Find out more on Cross-subsidization at brainly.com/question/6886629

#SPJ1

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Answer:

The APR stands for the annual percentage rate, and you can hope for a credit card with the least APR since you have good credit. It is the interest rate that is charged annually over the credit you spend. And the average credit card APR is 15.09, as mentioned in the February report. And on account that assesses interest, on average the APR is 16.91. And hence an APR below the 17.57, can be considered as a good one. And hence, this can be your APR for purchases or the balance transfers since you have a terrific credit.

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3 years ago
In an analysis of the market for paint, an economist discovers the facts listed below. State whether each of these changes will
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Answer:

a. Supply increases, Supply curve shifts to the right

b.  Demand decreases, Demand curve shifts to the left

c. Demand increases, Demand curve shifts to the right

d.  Supply decreases, Supply curve shifts to the left

Explanation:

a. There have recently been some important cost-saving inventions in the technology for making paint- Supply will increase due to lower cost in production. Shifting the supply curve to the right. Price of paint will fall and quantity will increase.

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c. Because of severe hail storms, many people need to repaint now- Demand for paint will increase shifting the demand curve to the right increasing the price and quantity of paints.

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An example of a cost that is likely to have a direct relationship with products being manufactured is
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Answer:

An example of a cost that is likely to have a direct relationship with products being manufactured is:

direct cost of raw materials.

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Other direct costs that affect the cost of the products directly are direct labor costs and direct overhead costs.  They are traceable to the products being manufactured.  This is why they are called direct costs.  They can be attributed to the unit of production.  The opposite is the indirect  costs of raw materials, labor, and overheads.  These costs cannot be traced to units of the product being produced.

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Related to the Economics in Practice on page​ 77: If a hurricane results in the supply of hotel rooms decreasing and the demand
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Answer:

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