Economics Essay

S let outhwest Airlines begins a Bags Fly shift campaign, charging no fees for a early and second checked saucer. Does this situation ruff represent manufacturer producer tilt, consumer consumer rivalry, or consumer producer rivalry? Explain.Southwest Airlines Bags Fly Free best represent producer-producer rivalry.Consumers have so galore(postnominal) different choices of airlines they kindle involve and generally most of us would like to raise up the most out of our money on our flights. Producer such as Southwest wants to supercharge our business by providing promotion such as Bags Fly Free to entice consumers not to worry about paying bag fees at the airport. Airlines are competing with each other to win over a special touchstone of customers. We as consumers want the best price and benefits with the least amount of stress.This cannot be consumer-consumer rivalry because there are plenty of airlines available to the consumers. Consumers are not limited to only South west Airlines so there wint be any competiveness among consumers to fight for a seat to get to their destination.This is not consumer producer rivalry because there is no debate in pricing. Southwest provides a price for their flight and we as the customer can either buy or not buy from Southwest. Customer cannot muckle back and forth with Southwest for a seat to their destination.This is definitely producer-producer rivalry in where Southwest believes their business direction is not to charge bag fees will be a competitive advantage over many other airlines who charges bags to fly.