Travel websites such as Travelocity tend to offer reservation services for multiple travel modes. This is because
A) the firms have contractual obligations to offer reservations for airlines and railroads, for example.
B) the firms have statutory obligations to offer reservations for airlines and railroads, for example.
C) once the firm has the reservation technology for airlines, there are economies of scale in offering the same service for railroads.
D) once the firm has the reservation technology for airlines, there are economies of scope in offering the same service for railroads.
D
You might also like to view...
The equation Y = A is known as the ________
A) Cobb-Douglas production function B) labor supply curve C) marginal product of labor D) capital-to-employment function
Tsintah weaves traditional Navaho rugs. She weaves and sells 50 rugs. Her average cost of production per rug is $50 . She sells each rug for a price of $65 . Tsintah's total revenues are
a. $750. b. $2,500. c. $3,250. d. $5,750.