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Bad White [126]
2 years ago
11

In the late 1990’s, Vanguard Airlines operated as a low-cost carrier, offering low prices and limited services, out of Kansas Ci

ty, Missouri. Not long after its inception, Vanguard began offering a significant number of flights based out of Midway International Airport in Chicago, Illinois as well. When Vanguard expanded to Midway, incumbent airlines, such as Delta, quickly responded to its low fares by offering many competing flights at comparably low prices. The intense price competition ultimately caused Vanguard to exit Midway in 2000 and file for bankruptcy in 2002. At varying points in time, the airline industry has been described as a contestable market; does the example of Vanguard support or refute this characterization of the airline industry? Explain.
Business
2 answers:
Elza [17]2 years ago
6 0

Answer:

Air Company itself might be a key business on the earth wherever during this time and age it ought to be protracted to require maintenance of its request growth of airlines business want immense asset which might be supported from business bank and stockholders but these stockholders need safety for his or her outcome on speculation.

In the higher than case the airline profession appears to be increasing its revenue over the varied nations there by enormous money demand is required but an airline business in today's market is of giant request and therefore  my opinion is against the given case wherever the business is shown insolvent. Within the higher than case there is also the unsuitable preservation of books and commutation gap that lead it to the insolvency

Allisa [31]2 years ago
4 0

Answer: Yes it supports the characterizations of the airline industry

Explanation:

Market Place: in economics system is where a group of companies meet to compete with each other in order to sell their products and services . It usually made up of buyers and sellers who communicate with each other for an exchange.

Contestable market: a contestable market is a market characterized by companies who can enter and leave freely whenever they dim fit with a low sunk costs. What this means is even in a market where either of monopoly or oligopoly is present, companies who dominate such market would always act competitively when there are no barriers for competitors.

From the example above, which supports the characterization of the airline industry as being contestable market Vanguard entered the market freely and also left when they couldn’t keep up with the competitiveness of delta.

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Colgate reported Diluted EPS of $2.38 in accordance with GAAP. How much higher would EPS be if Colgate ignored the impact of res
Fantom [35]

Answer:

EPS will be higher than $2.38

Explanation:

The earnings per share are the income that is accessible to the company's shareholders after all the costs and taxes are deducted. Restructuring costs are one-time costs that are recorded in the income statement as other operating expenses.

The presence of restructuring and other one-time costs in the Revenue Statement leads to lower pre-tax earnings and cause decrease in net profit. When these expenses are excluded, the Earning would increase, resulting in the company's EPS.

4 0
2 years ago
Which of the following is a distinct advantage of exporting? A. Absolute control over operations in the foreign nation B. It may
victus00 [196]

Answer: B. It may help a firm achieve experience curve and location economies

Explanation: Exporting is defined as the act of conveying or sending commodities abroad or to another country, in the course of commerce. Exporting provides a distinct advantage to firms in that it helps them achieve experience curve (which posits that the more experience a business has in the production of product, the lower its costs in producing the product) and location economies (the production of a good or product under the most optimum settings that confers an added advantage in cost of productions over their competitors).

7 0
2 years ago
A major liquor store finds that it sells an average of 100 bottles a week of regular 750 ml bottles of Jameson Irish Whiskey. As
Semmy [17]

Answer:

  • 0.04 year
  • 200 bottles
  • 100 bottles
  • 250
  • 200

Explanation:

A)  The current order cycle length = 2 weeks

= 2 / 50 year = 0.04 year

B) The current order size

cycle time ( 2 weeks ) * demand per unit time ( 100 bottles )

= 2 * 100 bottles = 200 bottles

C) average inventory

= order size / 2 weeks = 200 / 2 = 100 bottles

D) calculate how much the liquor store spend per year on ordering

first we calculate the number of orders per year = 50 / 2 = 25

next the amount spent per year on ordering = 25 * 10 = 250

E) calculate  inventory holding costs per year

= average inventory * cost of holding per bottle

= 100 * 2 = 200

7 0
2 years ago
g The round-trip business class airfare from Boston to Amsterdam (from August 18 through August 21) is $6,000. The round-trip bu
den301095 [7]

Answer:

The Boston-Amsterdam round-trip travelers are more likely to be on business, whereas the multi-city travelers going to Greece are likely to be on vacation, and therefore more price-sensitive.

Explanation:

The customers with more price- sensitivity are charge less than the customers with less price-sensitivity. multi-city travelers are more likely to be on a tour of cities and the Boston-Amsterdam travelers are likely to be on business.

7 0
2 years ago
Read 2 more answers
Select the correct answer.
MariettaO [177]

Answer:

The opportunity cost would be the chance to earn by working in library.

Explanation:

Opportunity cost is that cost or value of something which is given up for taking or acquiring something else. So, in this case, Henry wants a job so he has a option either to work in mow lawns or work in local library.

Therefore,  if he chooses to work in mow lawns, then the opportunity cost will be the chance to earn by working in the library.

Hence, the correct answer is B.

4 0
2 years ago
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