Gasoline refiners, like Exxon Mobile, sell branded gasoline both to independently owned gas stations and to company owned stations. Gasoline stations receive gasoline by truck at a delivered price, called the dealer tank wagon (DTW), or pick it up themselves at the ?rack? with their own trucks and pay what is known as a rack or wholesale price. A refiner makes money by selling wholesale gasoline, to independently owned stations at a price above marginal cost. Since the refiner marks up rack prices, the gas sold by independently-owned gas stations has a double markup, one imposed by the refiner, and the other, by the retailer. So, the resulting profit maximizing price is naturally higher. Suggest solutions to reduce the double markup problem.;*There is no word limit, please explian in full. The shorter the better.
Paper#29641 | Written in 18-Jul-2015Price : $22