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You are in charge of ticket sales for two concerts. One concert features the music by Wagner, and the other features the music by John
You are in charge of ticket sales for two concerts. One concert features the music by Wagner, and the other features the music by John Harbison. The market is highly segmented, and has three types of customers. The size of each segment is equal. The WTPs of these customers for each concert are as follows: Type of customer Wagner Harbison 20 55 60 a. What is the optimal price to charge, if you only sell individual tickets? What is the revenue? (1 point) b. Suppose you decide to use pure bundling. What is the optimal bundle price? What is the revenue? (1 point) c. Now you decide to use mixed bundling (offer both individual tickets and bundle tickets). What prices should you charge? What is the revenue? (1 point) d. Which of the three options would you choose? (1 point)
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