One reason why airlines charge business travelers and leisure travelers different prices is
A)business travelers fly according to schedules that are planned months in advance. Many leisure travelers buy their tickets at the last minute.
B)business travelers usually travel alone. Leisure travelers often fly with friends and family members; therefore, they have a more inelastic demand for airline tickets than business travelers.
C)business travelers fly more often than most leisure travelers. As a result, their employers are able to bargain with airlines for lower fares than leisure travelers pay.
D)business travelers often have inflexible schedules and have to travel on a particular day. The opposite is true for leisure travelers.

Question

Quizplus · Accepted Answer

Business travelers often have specific travel requirements and less flexibility in their travel plans, so airlines can charge higher prices for their tickets. Leisure travelers, on the other hand, often have more flexibility in their travel plans and can shop around for the best deals. Therefore, airlines charge different prices for business and leisure travelers based on their respective travel patterns and demand.

One Reason Why Airlines Charge Business Travelers and Leisure Travelers