Netflix prices are going up many Netfix subscribers are about to get a bigger monthly bill. Nettlix's basic plan will rise from 8 to 9 per month. Source: CNN Business, April 3, Will the price rise by Netflix increase its total revenue? If Amazon Prime and other streaming services also raise their prices, how will the total revenue from video streaming subscriptions change? If Netflix alone raises its price, Netflix's total revenue will If at the same time Amazon Prime and other streaming services also raise their prices, the total revenue from all video streaming subscriptions will . A. decrease; decreçse B. increase; increase C. increase; decrease

Question

Netflix prices are going up many Netfix subscribers are about to get a bigger monthly bill. Nettlix's basic plan will rise from 8 to 9 per month. Source: CNN Business, April 3, Will the price rise by Netflix increase its total revenue? If Amazon Prime and other streaming services also raise their prices, how will the total revenue from video streaming subscriptions change? If Netflix alone raises its price, Netflix's total revenue will If at the same time Amazon Prime and other streaming services also raise their prices, the total revenue from all video streaming subscriptions will . A. decrease; decreçse B. increase; increase C. increase; decrease

Answer 1

To determine whether the price rise by Netflix will increase its total revenue, we need to consider the number of subscribers and the price increase. If the number of subscribers remains constant, the total revenue will increase due to the higher monthly fee. However, if the price increase leads to a decrease in subscribers, the total revenue might not increase.If Amazon Prime and other streaming services also raise their prices, the total revenue from video streaming subscriptions will likely increase, assuming the number of subscribers remains constant or does not decrease significantly.If Netflix alone raises its price, Netflix's total revenue will likely increase, assuming the number of subscribers remains constant or does not decrease significantly.If at the same time Amazon Prime and other streaming services also raise their prices, the total revenue from all video streaming subscriptions will likely increase, assuming the number of subscribers remains constant or does not decrease significantly.Therefore, the correct answer is:B. increase; increase

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