Business Studies · Oct / Nov 2017 · Paper 12 · Question 1
7115
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FlyAway is an airline business. It is in the tertiary sector. It offers low-price flights for business customers in country J. Customers have to pay extra for luggage and food on the flight. It is a very competitive market. The Marketing manager knows that improving customer service is important. Bookings and advertising are done through FlyAway’s ticket shops and its website. The Marketing manager cannot decide whether to close its ticket shops and use only e-commerce. Table 1: Selected information about two of FlyAway’s routes Route Average number of Average price per ticket Break-even number of passengers per flight ($) passengers per flight 1 85 80 70 2 110 60 90
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1(a)[2]
1(b)[2]
1(c)[4]
1(d)[6]
1(e)[6]
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