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Topic 547 - The following appeared in a memorandum from the CEO of Volare Airlines. "Even though our record last year of on-time takeoffs and arrivals was not as good as that of several other major airline companies, our total revenues were among the highest of any airline. Clearly, an on-time record is not the passengers' first concern, and so we should not risk reducing our revenues by trying to improve our record. Instead, we should try to attract new passengers by announcing a program of incentives and discounts. Consider that Flugel Airlines saw ridership increase last year after it lowered fares on its most popular routes, whereas Aero Airlines lost customers even after its president appeared on television to apologize publicly for flight delays." Discuss how well reasoned . . . Etc.




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