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Johnny Ocean is considering offering a new service that will send surf conditions to surfers by email. He is the only supplier of these email
Johnny Ocean is considering offering a new service that will send surf conditions to surfers by email. He is the only supplier of these email updates in the region. Johnny Ocean's market research indicates that there are two types of potential users: impecunious students and bodaciously leisure-loving executives. Let be the number of email updates that a surfer requests per year. The executives have an inverse demand function, =100.00 , and the students have an inverse demand function, =28.00 . The marginal cost of producing another surf condition email is zero. What is the maximum price a student would be willing to pay for access to a bundle of 28.00 email updates? (Round your answer to two decimals if necessary.) $ What is the maximum price an executive would be willing to pay for access to a bundle of 100.00 email updates? (Round your answer to two decimals if necessary.) $
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