-----Original Message-----
From: Keith Hudson [mailto:[EMAIL PROTECTED]]
Sent: Saturday, September 29, 2001 5:34 PM
To: G. Stewart
Cc: [EMAIL PROTECTED]
Subject: Re: A hypothetical exam essay question
snip, snip....
You bet! In England two of our airlines, EasyJet and Ryanair, are offering
ticket prices of �9-99 and �0.99 respectively (yes -- about US$15.00 and
US$1.50) for flights to Europe and thus thousands are filling their seats
in truly elastic fashion.
Keith Hudson
Arthur C.
Keep that up for a while and they will be bankrupt. More than likely not
covering their marginal or variable costs. Looks good as a promo but bad
business strategy.
_________________________________________________________________
Keith Hudson, General Editor, Calus <http://www.calus.org>
6 Upper Camden Place, Bath BA1 5HX, England
Tel: +44 1225 312622; Fax: +44 1225 447727;
mailto:[EMAIL PROTECTED]
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