Question

One problem in the interstate trucking industry is the number of trucks that return after making a delivery with an empty truck. There is a website where independent interstate truckers can look for loads that they can carry with them on their return trip. Because the trucks would be returning empty (and inefficiently), truckers who use this website to get business that they would not have had without it and charge a reduced shipping rate. This reduced rate is an example of:

Answer 1

Answer:

Yield management pricing.

Explanation:

One problem in the interstate trucking industry is the number of trucks that return after making a delivery with an empty truck. However, there is a website where independent interstate truckers can look for loads that they can carry with them on their return trip. Because the trucks would be returning empty (and inefficiently), truckers who use this website to get business that they would not have had without it and charge a reduced shipping rate. This reduced rate is an example of yield management pricing.

Yield management pricing can be defined as a pricing strategy which typically involves having a variety of charges (prices) for the services being provided by an organization at a specific period of time.

Simply stated, it basically involves providing a service at the right price, time and to the right service taker.

The yield management pricing strategy is mostly used by the airline, hotel, travel businesses. The main purpose of the yield management pricing is to maximize profits or generate more revenue.