3. A very particular local oyster bar allows customers to enter and order oysters only once...
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3. A very particular local oyster bar allows customers to enter and order oysters only once a day (the owner requires ID and keeps track of customer visits). The oyster bar owner also allows customers to place only one order per visit. The profit-maximizing owner of the bar knows that there are two types of customers: those who are very hungry, and those who are only mildly hungry. The demand for oysters by any very hungry customer is given by p=10-q, while those who are mildly hungry have (individual) demand p=4-2q. Because the owner of the oyster bar can't easily determine who is a very hungry customer and who is not, she decides to sell oysters in packages. She offers a large package of 10 oysters and a small package of 2. The oyster bar owner receives all of the oysters for free from a sailor friend, so her marginal cost is MC=0. If the oyster bar owner wants the very hungry customers to buy the large package and the mildly hungry customers to buy the small package, the most the oyster bar owner can charge for the small package is $ If the oyster bar owner wants the very hungry customers to buy the large package and the mildly hungry customers to buy the small package, the most the oyster bar owner can charge for the large package is $ 3. A very particular local oyster bar allows customers to enter and order oysters only once a day (the owner requires ID and keeps track of customer visits). The oyster bar owner also allows customers to place only one order per visit. The profit-maximizing owner of the bar knows that there are two types of customers: those who are very hungry, and those who are only mildly hungry. The demand for oysters by any very hungry customer is given by p=10-q, while those who are mildly hungry have (individual) demand p=4-2q. Because the owner of the oyster bar can't easily determine who is a very hungry customer and who is not, she decides to sell oysters in packages. She offers a large package of 10 oysters and a small package of 2. The oyster bar owner receives all of the oysters for free from a sailor friend, so her marginal cost is MC=0. If the oyster bar owner wants the very hungry customers to buy the large package and the mildly hungry customers to buy the small package, the most the oyster bar owner can charge for the small package is $ If the oyster bar owner wants the very hungry customers to buy the large package and the mildly hungry customers to buy the small package, the most the oyster bar owner can charge for the large package is $
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Very hungry customers have demand of p 10 q Mildly hungry cus... View the full answer
Related Book For
Transportation A Global Supply Chain Perspective
ISBN: 9781337406642
9th Edition
Authors: Robert A. Novack, Brian Gibson, Yoshinori Suzuki, John J. Coyle
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