CASE STUDY: USE OF GAME THEORY TO MAXIMIZE PROFITS(ECO-550)

 CASE STUDY: USE OF GAME THEORY TO MAXIMIZE PROFITS

The following article describes the unique boarding process used by the Southwest Airlines.

Presh Talwalkar (2015) https://mindyourdecisions.com/blog/2013/03/05/southwest-airlines-boarding-and-game-theory/

Use this article and at least three (3) others to answer the following questions in 6 pages:

1.Describe the change in Southwest Airlines boarding process.

2.What was Southwest’s main goal introducing the early-bird check-in?

3. Explain how Southwest Airlines used the game theory approach to increase its profits. What is the outcome of the game involving early-bird check-in? Identify what is the passengers’ dominant strategy. Determine why travelers face the Prisoner’s Dilemma with the early-bird check-in process.

4.Analyze the advantages and disadvantages of the early-bird check-in process for Southwest Airlines.

5.Suggest ways in which other companies, or the company you work for, can utilize similar game approach to maximize profits. 

Note: One of your references should help provide a rationale as to why this is a good approach for this company and needs to have been published within the last 6 months.

Your assignment must follow these formatting requirements: Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions. Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.