Which might be a possible reason a cable television operator want to bundle channels together in packages ("tiers")?
A)delivering many channels to the consumer is not much more costly than delivering a few.
B)simplifies the consumer's choice and perhaps lowers administrative costs.
C)allows the firm to extract revenue from a consumer even if it does not know exactly which channels the consumer likes the most..
D)all of the above.

Question

Quizplus · Accepted Answer

Bundling channels together in packages allows cable operators to deliver many channels at a similar cost to delivering fewer channels, simplifies the consumer's choice, and allows the firm to extract revenue from a consumer even if it does not know their preferred channels. Therefore, all three options are possible reasons for cable television operators to bundle channels.

Which Might Be a Possible Reason a Cable Television Operator