1. 1 Chapter 16 Pricing Techniques and Analysis ©2002 South-Western

2. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 2 Figure 16.1Congestion Tolls with Peak–Off-Peak Demand

3. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 3 Figure 16.2Second-Degree Price Discrimination: Tri-State Gas Company

4. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 4 Figure 16.3Optimal Two-Part Tariffs for Auto Rentals

5. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 5 Figure 16.4Third-Degree Price Discrimination: Blue Ridge Dairy Cooperative

6. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 6 Figure 16.6Multiple-Product Pricing

7. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 7 Figure 16.7Optimal Price and Output Determination of Joint Products A and B Produced in Fixed Proportions

8. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 8 Figure 16.8 Joint Products Produced in Variable Proportions: An Optimal Price-Output Mix—Slusser Chemical Company

9. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 9 Figure 16.9Determination of the Transfer Price with No External Market for the Intermediate Product

10. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 10 Figure 16.10Determination of the Transfer Price with a Perfectly Competitive External Market for the Intermediate Product—Excess Internal Supply

11. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 11 Figure 16.11Determination of the Transfer Price with a Perfectly Competitive External Market for the Intermediate Products—Excess Internal Demand

12. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 12 Figure 16.12Example of Demand Skimming: iMac Personal Computer

13. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 13 Figure 16A.1Spill and Spoilage with Random Demand and Fixed Prices

14. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 14 Figure 16A.2Cross-Functional Revenue Management

15. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 15 Figure 16A.4Price Discrimination and Optimal Capacity Allocation (45 Days in Advance) for Thursday 11:00 A.M. Flight from Dallas to Los Angeles

16. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 16 Figure 16A.5Advance Sales Forecasts, Bookings, and Threshold Curves

17. Chapter 16PRICING TECHNIQUES AND ANALYSIS ©2002 South-Western 17 Figure 16A.6 Overbooking Decision Minimizes Summed Cost of Spoilage and Spill