service industries

This topic has 1 reply, 2 voices, and was last updated 5 years ago by John Moffat.

Viewing 2 posts - 1 through 2 (of 2 total)

Author

Posts
September 12, 2020 at 5:46 am #585231
Noah098
Member
- Topics: 935
- Replies: 352
sir why is it generally said that costs in service industry are predominantly fixed?

thanks!
September 12, 2020 at 9:22 am #585272
John Moffat
Keymaster
- Topics: 57
- Replies: 54858
Think of a hotel. Although some of their costs will be variable, most of the costs of running a hotel are fixed – they do not change with the number of people staying in the hotel.
Author

Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.