bravo airlines

Expert replies

PAB2706: Master | Next Rank: 500 Posts; Posts: 260; Joined: Sun Oct 12, 2008 8:10 pm; Thanked: 4 times

by PAB2706 » Fri Mar 20, 2009 5:38 am

Company Alpha buys free-travel coupons from people who are awarded the coupons by Bravo Airlines for flying frequently on Bravo airplanes. The coupons are sold to people who pay less for the coupons than they would pay by purchasing tickets from Bravo. This marketing of coupons results in lost revenue for Bravo.

To discourage the buying and selling of free-travel coupons, it would be best for Bravo Airlines to restrict the

(A) number of coupons that a person can be awarded in a particular year
(B) use of the coupons to those who were awarded the coupons and members of their immediate families
(C) days that the coupons can be used to Monday through Friday
(D) amount of time that the coupons can be used after they are issued
(E) number of routes on which travelers can use the coupons

Source: Beat The GMAT — Critical Reasoning | Fri Mar 20, 2009 5:38 am

usualsuspect: Junior | Next Rank: 30 Posts; Posts: 26; Joined: Fri Feb 13, 2009 6:23 am; Location: frankfurt; GMAT Score:620

by usualsuspect » Fri Mar 20, 2009 7:14 am

Choice B.
Alpha sells ticket to anyone , but if it is restricted to family members, selling tickets in the market would not happen.

Aëtou gēras, korydou neotēs.
"An eagle's old age (is worth) a sparrow's youth".

PAB2706: Master | Next Rank: 500 Posts; Posts: 260; Joined: Sun Oct 12, 2008 8:10 pm; Thanked: 4 times

by PAB2706 » Fri Mar 20, 2009 9:16 am

why not D

Kunal_gmat: Senior | Next Rank: 100 Posts; Posts: 45; Joined: Wed Feb 11, 2009 9:59 am; Thanked: 2 times

by Kunal_gmat » Fri Mar 20, 2009 9:19 am

Agree with usualsuspect. (B) is the most restrictive way in which company alpha can be stopped from affecting Bravo. Some loophole in all the other options.
(D) By restricting the amount of time for which the coupons can be used, alpha still has the possibility to buy and sell the coupons in the limited time frame. As per (B), alpha may buy from somebody, but will have to sell it back to the same person or his/her relative, which is....not logical.

babuk: Newbie | Next Rank: 10 Posts; Posts: 7; Joined: Mon Dec 29, 2008 5:35 am

by babuk » Tue Jun 16, 2009 8:36 pm

Can somebody help me understand what CR question type this is?
I could make out that B is the best answer choice. But just curious as to what category of CR questions this belongs to...

Vemuri: Legendary Member; Posts: 682; Joined: Fri Jan 16, 2009 2:40 amFollowed by: 1 member; Thanked: 32 times

by Vemuri » Tue Jun 16, 2009 11:52 pm

babuk wrote:Can somebody help me understand what CR question type this is?
I could make out that B is the best answer choice. But just curious as to what category of CR questions this belongs to...

IMO B. This is a Resolve CR

amazonviper: Master | Next Rank: 500 Posts; Posts: 109; Joined: Mon May 04, 2009 8:22 pm; Location: Indy; Thanked: 3 times

Re: bravo airlines

by amazonviper » Wed Jun 17, 2009 4:21 am

PAB2706 wrote:Company Alpha buys free-travel coupons from people who are awarded the coupons by Bravo Airlines for flying frequently on Bravo airplanes. The coupons are sold to people who pay less for the coupons than they would pay by purchasing tickets from Bravo. This marketing of coupons results in lost revenue for Bravo.

To discourage the buying and selling of free-travel coupons, it would be best for Bravo Airlines to restrict the

(A) number of coupons that a person can be awarded in a particular year
(B) use of the coupons to those who were awarded the coupons and members of their immediate families
(C) days that the coupons can be used to Monday through Friday
(D) amount of time that the coupons can be used after they are issued
(E) number of routes on which travelers can use the coupons

IMO B. This clearly restricts the use of a third party from using the coupon and hence Company Alpha would not buy the coupons from the frequent travelers.

D- cannot be the choice since even within the specified time-frame (we do not know how much) company alpha can still buy and sell the coupons in a manner such that the coupons can be used within the expiry date.

__________________________________

Winners never quit..Quitters never win !!

vinaynp: Master | Next Rank: 500 Posts; Posts: 154; Joined: Thu Mar 19, 2009 12:55 pmFollowed by: 1 member; Thanked: 5 times

by vinaynp » Wed Jun 17, 2009 7:48 am

IMO B)

shark: Junior | Next Rank: 30 Posts; Posts: 18; Joined: Fri May 29, 2009 9:16 am

by shark » Wed Jun 17, 2009 4:55 pm

I would go with B

mehravikas: Legendary Member; Posts: 1161; Joined: Mon May 12, 2008 2:52 amFollowed by: 1 member; Location: Sydney; Thanked: 23 times

by mehravikas » Wed Jun 17, 2009 5:47 pm

Should be - B

james33: Master | Next Rank: 500 Posts; Posts: 200; Joined: Sat Aug 22, 2015 10:27 am

by james33 » Sun May 15, 2016 8:05 pm

Looking at it now, B makes sense

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