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sweet [91]
3 years ago
9

You are the manager of a movie theater that is the only one in a local market, so you have strong market power. You have extensi

vely researched your customer base and realize you have two types of segmentable customers: (i) students who have an elasticity of demand for movies of -2.7 and (ii) senior citizens who have an elasticity of demand for movies of -5.1. Which of the following pricing schemes would you employ to enhance profits?a. Set higher prices to the students as their demand is relatively more elastic.b. Set higher prices to the students as their demand is relatively more inelastic.c. Set higher prices to the senior citizens as their demand is relatively more elastic.d. Set higher prices to the senior citizens as their demand is relatively more inelastic.
Business
1 answer:
Gre4nikov [31]3 years ago
7 0

Answer: b. Set higher prices to the students as their demand is relatively more inelastic.

Explanation:

Price elasticity of demand measures the change in quantity demanded to changes in price levels.

If demand is inelastic, a small change in price has a small effect on quantity demanded. An inelastic demand usually has a coefficient of less than 1.

The elasticity of demand for students and senior citizens are both inelastic but that of the students is greater than that of senior citizens. They are less responsive to price changes when compared with senior citizens.

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Organizational citizenship refers to the set of actions employees perform that are not part of their duties but help improve the working environment. These behaviors are usually referred to as the "plus" workers give to their performance even if their paychecks will not see an increase.  

<em>Employees who are committed to their roles and who were empowered by direct supervisors are more likely to show organizational citizenship behaviors.</em>

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3 years ago
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An ad for Covenant Transport,a national trucking company,is on a page that is wider than the normal pages found in "Trucker's Co
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The correct answer is D) gatefold.

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3 years ago
Hughes Co. is growing quickly. Dividends are expected to grow at a rate of 22 percent for the next three years, with the growth
Oksana_A [137]

Answer: $53.94

Explanation:

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D₂ = 2.867 * 1.22 = $‭3.49774‬

D₃ = ‭3.49774‬ * 1.22 = $‭4.2672428‬

Share price = (2.867 / (1 + 12%)) + (‭3.49774‬ / 1.12²) + (‭4.2672428‬ / 1.12³) + (64/1.12³)

= $53.94

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3 years ago
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A. The Occupational Outlook Handbook


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3 years ago
Read 2 more answers
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