Aviation Research Paper Example | Topics and Well Written Essays - 4000 words

Aviation - Research Paper Example This way, the business transactions between consumers and the company are monitored in order to help in the company’s revenue management. The company in question also needs to base on other external information including information about prices of the company’s competitors in the market, the season in the market, as well as the consumers buying patterns. Basically, yield or revenue management involves decision-making, as the company attempts to figure out and make decisions regarding the kind of services to be sold, at what time to sell them, and at what price to sell them at, which would ensure that the company rips maximum profits (Coombs, Hobbs & Jenkins, 2005). Yield management is therefore, an integral part of management accounting, as it involves financial control in a company, as well has financial consequences on a company. The decisions made in the process of revenue or yield management in a company are instrumental in helping a company settle for specific prices for its services, which will be in alignment with the demand in the market. This is with regard to ensuring that consumer needs are met, while at the same time ensuring maximization of profits for the company (Sani, 2011). There are various aspects in the company and in the external environment, which help the company make viable decisions in the process of yield management, especially with regard to the determination of prices for the services offered by the company. Such aspects include the type of services offered by the company. Depending on the nature and quality of the services a company offers, the management are in a position to make decisions, regarding the price they will fix for each type of service. In addition, the market type is also of essence in helping a company make decisions concerning service pricing. If the market is domi nated by middle income-earners, it is more likely that a company will make service-pricing decisions based on the income or