The Ohio State Baseball team is looking at a few promotions…
The Ohio State Baseball team is looking at a few promotions to enhance attendance. Unfortunately, weather can keep people away regardless of the pull of a bobblehead. Below, you can find the expected profit from various promotion/weather combos (remember, promotions cost money that can’t be recouped if the tickets aren’t sold). Weather Very Hot yet Sunny Comfortable Rainy No Promotion $15,000 $20,000 $10,000 Bobblehead giveaway $25,000 $35,000 $0 Dime-a-dog $30,000 $30,000 $1,000 Kid’s free $20,000 $25,000 $2,000 The weatherman says there is a 25% chance of being very hot and sunny, a 35% chance of being comfortable, and a 40% chance of rain. The best strategy based on expected value of profit is with expected value of