What would efficient revenue management imply for the pricin…

What would efficient revenue management imply for the pricing of parking at the State Farm Stadium (home of the Arizona Cardinals football team) on typical game days? How about if the stadium were hosting the Super Bowl? How about for the many smaller events that fill less than half the lot?

Last year, a toy manufacturer introduced a new toy truck tha…

Last year, a toy manufacturer introduced a new toy truck that was a huge success. The company invested $2.5 million for a plastic injection molding machine (which can be sold for $2.0 million) and $100,000 in plastic injection molds specifically for the toy (not valuable to anyone else). Labor and the cost of materials necessary to make each truck is about $3. This year, a competitor has developed a similar toy that has significantly reduced demand for the toy truck. Now, the original manufacturer is deciding whether they should continue production of the toy truck. If the estimated demand is 100,000 trucks, what is the break-even price for the toy truck? Should you shut down?