Which of the following could be an appropriate approach to demand management in the service sector when demand and capacity are mismatched?
A) higher prime time pricing
B) off-peak price incentives
C) reservations
D) all of the above

Question

Quizplus · Accepted Answer

All of the above approaches could be appropriate for demand management in the service sector when demand and capacity are mismatched. Higher pricing during peak times can encourage customers to choose off-peak times, while off-peak price incentives can entice customers to come during less busy times. Reservations can also help manage demand by allowing businesses to regulate the number of customers they can accommodate at any given time. A combination of these approaches may be the most effective in managing demand and maximizing profitability in the service sector.

Which of the Following Could Be an Appropriate Approach to Demand