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Jimmy, a friend of Jackic, owns a cafe where he serves gourmet cheese.pdf

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Jimmy, a friend of Jackic, owns a cafe where he serves gourmet cheese and luxury wine. There are two types of customers with their reservation prices for one plate of cheese and one glass of wine as shown in the table below: The marginal cost of one plate of gourmet cheese and the marginal cost of one glass of fine is the same, Ci and C<14. Jimmy considers to sell cheese and wine separately or as a bundie. Determine for what values of C bunding is more profitable then sellins cheese and wine separately. For values of C thans Jimmy finds bundling more profitable..

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Jimmy, a friend of Jackic, owns a cafe where he serves gourmet cheese and luxury wine. There are two types of customers with their reservation prices for one plate of cheese and one glass of wine as shown in the table below: The marginal cost of one plate of gourmet cheese and the marginal cost of one glass of fine is the same, Ci and C<14. Jimmy considers to sell cheese and wine separately or as a bundie. Determine for what values of C bunding is more profitable then sellins cheese and wine separately. For values of C thans Jimmy finds bundling more profitable.

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  • 1. Jimmy, a friend of Jackic, owns a cafe where he serves gourmet cheese and luxury wine. There are two types of customers with their reservation prices for one plate of cheese and one glass of wine as shown in the table below: The marginal cost of one plate of gourmet cheese and the marginal cost of one glass of fine is the same, Ci and C<14. Jimmy considers to sell cheese and wine separately or as a bundie. Determine for what values of C bunding is more profitable then sellins cheese and wine separately. For values of C thans Jimmy finds bundling more profitable.