If universities were to use yield management techniques, they would increase scholarship offers to students likely to be more price sensitive and they would reduce scholarship offers to students likely to be less price sensitive.

Question

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Yield management techniques involve adjusting prices or discounts based on the likelihood of a customer being price sensitive. In the context of universities, this could involve offering more scholarships or financial aid to students who are more price sensitive (i.e. more likely to consider the cost of tuition when choosing a school), and fewer scholarships or financial aid to students who are less price sensitive (i.e. less likely to be influenced by the cost of tuition). This strategy can help universities maximize their revenue and enrollment by adjusting their scholarship offers based on the needs and preferences of different students.

If Universities Were to Use Yield Management Techniques, They Would