Question
Part 2: Currently A+ Rentals charges all customers the same daily rate. The lone exception to this rule is the $12.50 surcharge on customers under
Part 2: Currently A+ Rentals charges all customers the same daily rate. The lone exception to this rule is the $12.50 surcharge on customers under 25 years of age (required by company policy). Should A+ Rental Cars consider alternative pricing strategies? For instance, is it possible to increase revenue and profit by charging different customers different prices? If so, how would you approach and implement these strategies?
A+ Rental Cars customers who choose to keep a rental for an extra day are paying the same base daily rate. Is it worth exploring alternative ways to price extra days? If so, what changes would you make? Discuss the important considerations and tradeoffs involved in this decision and explain your rationale.
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