Question
Sunrise Airlines is a commercial airline that targets business & nonbusiness travelers. In recent months, the airline has been unprofitable. The company has break-even sales
Sunrise Airlines is a commercial airline that targets business & nonbusiness travelers. In recent months, the airline has been unprofitable. The company has break-even sales volume of 75% of capacity, which is significantly higher than the industry average of 65%. Sunrise's CEO, Tom Smith, is concerned with the recent string of losses and is considering a strategic plan that could reduce the break-even sales volume by increasing ticket prices. He has asked for your help in evaluating this plan. Please make a brief Memo to Tom Smith evaluating this strategy. Please follow the format of the memo.
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