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What is the main topic of the text?
Overbooking
What does overbooking mean?
Selling more spots than a business really has
Why does overbooking make customers angry?
Because they lose their place or have to wait
Why do companies overbook?
To make more money
Do companies expect everyone to show up?
No
Which industry is the most common example of overbooking?
Airlines
How many people get bumped from flights each year?
About 50,000
Why are airlines not surprised when people get bumped?
They use statistics and past data
What happens if airlines sell too few tickets?
Some seats stay empty and they lose money
What happens if airlines sell too many tickets?
They must pay compensation
How many seats are in the example airplane?
180
What percentage of passengers usually show up in the example?
90%
If the airline sells 180 tickets, how many passengers will probably board?
how many passengers will probably board?
What does “bumping a passenger” mean?
Removing someone from a flight they paid for
How much money does the airline lose for bumping one passenger in the example?
$800
How much does one ticket cost in the example?
$250
