Final answer:
A fee for service change refers to a modification in how a service is priced, such as bundling or unbundling services or adjusting the overall cost. The given example is of a coffee shop changing the pricing components, which is similar to what Netflix did in 2011 with a 60% price hike.
Step-by-step explanation:
The situation described in the question involves a change made to the fee of service, where a service fee is modified. For example, consider the hypothetical scenario of a coffee shop that changes its pricing model. Originally, the coffee shop charged $3 for a cup of coffee, including creamer and sweetener. Under the new pricing model, the basic cup of coffee costs $2, but creamer and sweetener are each priced at $1, separately. In this way, customers now have to pay $4 to get the same cup of coffee with creamer and sweetener that used to cost $3, effectively meaning the customers who want the same service (coffee with creamer and sweetener) now face an extra charge of $1.
This example reflects the broader concept of a fee for service in different industries, such as the case with Netflix in 2011 where customers faced a 60% price hike to retain the same level of service they enjoyed previously. Such changes in pricing strategy can greatly affect consumer behavior and business revenue.