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In 2000, Amazon, the large e-commerce vendor, apparently engaged in dynamic pricing, where the price it charges its customers today depends on these customers' actions in the recent past-including what they bought, how much they paid, and whether they paid for high-speed shipping-and personal data such as where they live. One customer reported that he had bought Julie Taylor's Titus for $24.49. The next week, he returned to Amazon and saw that the price had jumped to $26.24. As an experiment, he removed the cookie that identified him, and found that the price dropped to $22.74. Other DVDTalk .com visitors reported that regular Amazon customers were charged 3% to 5% more than new customers. Amazon announced that its pricing variations stopped as soon as it started receiving complaints from DVDTalk members. However, Amazon may have resumed this practice in 2007. (David Streitfeld, "Amazon Pays a Price for Marketing Test," Los Angeles Times, October 2, 2000:C1; David Streitfeld, "Amazon Mystery: Pricing of Books," Los Angeles Times, January 2, 2007.) What type of price discrimination is this dynamic pricing?
The market for semiskilled labor can be represented by the following supply and demand curves: ED = 32000 - 4000w and ES = -8000 + 6000w where E = millions of person hours per year and w = the wage in dollars per hour.
The company debt represents 25%, the preferred stock represents 10%, and the common stock equity represents 65% of total capital on the basis of the market values of the three components. The company expects to have a significant amount
Consumers are located uniformly along a straight 1 mile road that leads from the one end of town to the other (no cross roads exists). Each consumer wants to buy one unit of a good from an existing store. The transportation cost or the cost of wal..
Do you think your conclusions would be any different if you used a shadow demand curve instead of a shadow supply curve? Why or why not?
a consumer of two goods faces positive prices for both goods and has positive income. her preferences over consumption
Are heavily used bridges, such as the Bay Bridge, Brooklyn Bridge, and the Golden Gate Bridge, commons? If so, what can be done to mitigate externality problems?
Describe the rollforward process. Under what conditions should rollforward be used?
Suppose that the U.S. demand for maple syrup, in thousands of gallons per year, is Qd 6000 - 30P. What is the elasticity of demand at a price of $77 per gallon?
What is the dollar value of the total surplus (producer surplus plus consumer surplus) when the allocatively efficient output Q1 level is being produced How large is the dollar value of the consumer surplus at that output Q1 level
Choose either $1,350,000 or $1,750,000 to be the more appropriate fixed cost for a product layout, and consider the other value as the fixed cost for a process layout. Similarly, choose either $240 or $310 to be the variable costs for the layouts.
suppose two types of consumers exist, a more affluent group (1) with an estimated price elasticity for biscuits of -2 and a less affluent (2) with an estimated price elasticity for biscuits of -2.5. Pillsbury puts a posted price of a particular amoun..
A four-sided die is rolled repeatedly, until the first time (if ever) that an even number is obtained. What is the sample space for this experiment?
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