Author Question: Cici's Pizza Most pizza restaurants charge by the pie or by the slice. Cici's has found a niche by ... (Read 60 times)

Starlight · **on:** Jul 1, 2018

Cici's Pizza Most pizza restaurants charge by the pie or by the slice. Cici's has found a niche by charging a flat rate for the meal and allowing as many visits to the pizza buffet as the customer desires. How does this affect the make-up of its clientele?

Question 2

A business owner makes 50 items a day. Each day he/she contributes 8 hours to produce those items. If hired, elsewhere he/she could have earned 10 an hour. The item sells for 10 each. Production does not stop during weekends. If the explicit costs total 10,00 . for 30 days, the accounting profit for the month equals:
a. 1,760
b. 2,240
c. 11,760
d. 5,000

Brummell1998 · **Reply #1 on:** Jul 1, 2018

Answer to Question 1

Cici's pricing scheme is particularly attractive for patrons who know they will be eating a lot of pizza and not so attractive to patrons who eat sparingly. As a consequence the population that selects into patronizing Cici's tends to include many larger men or teenagers who come after a sporting event.

Answer to Question 2

d