Like hotels and airlines, every empty stadium seat represents a fixed cost and a perishable product.

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Except in the situation of a perishable product, a company cuts its prices to increase its sales and gain market share and must cut prices to do so because of competition.

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In the past, this alternative was not possible due to the highly perishable nature of bananas and the unwillingness of the retailer or vending operator to absorb high losses due to overripe product.

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