Which of the following is (are)revenue management tactics appropriate for perishable assets?
A) Vary price over time to maximize expected revenue
B) Under book sales of the asset to account for unexpected demand
C) Overbook sales of the asset to account for cancellations
D) all of the above

Question

Quizplus · Accepted Answer

All of the tactics mentioned (varying price over time, underbooking, and overbooking) are commonly used in revenue management for perishable assets. Varying price helps to maximize revenue by adjusting prices to demand, while underbooking allows for the possibility of unexpected demand without overselling the asset. Overbooking accounts for cancellations, which can help to minimize losses due to unsold inventory.

Which of the Following Is (Are)revenue Management Tactics Appropriate for Perishable