LC
Answered
A small private university normally charges the same price-$600-per credit-hour for all courses and for all students. While the university is pretty near capacity in the fall and spring, it finds that its classrooms are only about 70% occupied during the summer session. A student of operations management (who has recently read this chapter) wonders if yield management might be useful to both the university and its students alike. This student, with help from some economics majors, estimates a demand curve for summer course enrollment. Points on this demand curve include 7000 credit-hours at the current rate of $600, 8,000 credit hours at $500, 10,000 credit-hours at $400. Based on this demand curve, what price point would best serve the university, if its objective is the greatest revenue for the summer session?
On Jul 26, 2024
The student must consider that since 7000 hours is 70% of capacity there is a classroom capacity of 10,000 credit-hours during the summer session. At $600 per credit hour, revenues would be $4,200,000; at $500, revenues would be $4,000,000; at $400, revenues would be $4,000,000. The $600 price point yields the most revenue of the feasible price points.
LC
Answered
What is meant by paralanguage?
On May 29, 2024
Paralanguage, meaning "along with language," is a type of nonverbal communication. Of all the types, it is the closest to communication with word symbols. It has to do with the sound of a speaker's voice-those hints and signals in the way words are delivered, such as emphasis, pitch, and volume, that also give meaning to a speaker's message.