Seven years ago, you started a crosstown delivery service. You have two types of service. You have a small parcel service for anything that is flat and measures less than 11x17. You have a package service using a 100 lb. capacity bike trailer for anything weighing up to 10 lbs.Initiallyyou charged the same price for each service,but since the beginning of the Covid-19 pandemic you have seen an increase in the demand for your package service.The demand for the package service seems to be more inelastic than the demand for parcels. You are now wondering if you should charge different prices for the parcel service and the package service, i.e. should you segment the your market? Does segmentation increase profits?

Seven years ago, you started a crosstown delivery service. You have two types of service. You have a small parcel service for anything that is flat and measures less than 11x17. You have a package service using a 100 lb. capacity bike trailer for anything weighing up to 10 lbs. Initially you charged the same mice for each service, but since the beginning of the Covid1 9 pandemic you have seen an increase in the demand for your package service. The demand for the package service seems to be more inelastic than the demand for parcels. You are now wondering if you should charge different prices for the parcel service and the package service, i.e. should you segment the your market? Does segmentation increase prots? Complete the table below for he combined market of parcels and packages. Price Parcels and Packages TR MR TC MC Prot 50 5,000 1,600 3,400 90 10,800 83 2.300 1C 8,500 80 190 15,200 63 3,000 1C 260 18,200 43 3,700 10 14,500 60 10,800 23 4,400 1C 15,400 50 400 20,000 3 5,100 1C 470 18,800 17 5,800 1C 13,000 30 16,200 -37 6,500 1C 9,700 20 610 12,200 -57 7,200 1C 10 680 6,800 77 7,900 1C 1,100