Question
The article titled Airlines Have Cracked the Fare Gamefor Now includes the following statement: U.S. airlines are testing a new secret weapon: passenger segmentation. So
The article titled "Airlines Have Cracked the Fare Gamefor Now" includes the following statement: "U.S. airlines are testing a new secret weapon: passenger segmentation. So far it seems to hit the mark, but executives likely overrate its firepower during bad times".Also, the following: "...better customer targeting will 'offset weakness in demand.' The idea is that more fare classes and narrower price gaps between them mean there will always be a cabin type to suit each flier's budget".According to the statements, the airlines use a form of:
a.first degree price discrimination.
b.second degree price discrimination.
c.third degree price discrimination.
d.two-part tariffs.
e.block pricing.
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