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Author Question: Explain how the merchant model works. What will be an ideal response? (Read 281 times)

xclash

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on: Sep 11, 2019

Question 1

Why do you think Enterprise came relatively late to the airport market?
 
  What will be an ideal response?

Question 2

Explain how the merchant model works.
 
  What will be an ideal response?


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31809pancho

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Reply #1 on: Sep 11, 2019

Answer 1

Enterprise is a conservatively managed company who apparently wanted to be sure that it could provide the same level of service at airports that it was providing in local markets.

Answer 2

Suppliers make inventory available to agencies at a discounted price called a net rate. The agencies then attempt to sell that inventory to the public at a price above the net rate.


xclash

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Reply #2 on: Sep 11, 2019
Both answers were spot on, thank you once again


31809pancho

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Reply #3 on: Sep 11, 2019
Great! Please up vote :D


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