Question

Is the probability of overbooking small enough that it does not happen very often (ie, unusual), or is it high enough to consider making changes to lower the probability of overbooking? Justify your answer using a complete sentence and proper grammar.

Answer 1

The probability of overbooking depends on factors such as industry standards and historical data; if overbooking is common, companies may need to alter policies to reduce it. It is similar to calculating the probability of a student having change or taking the bus, as these are specific to observed scenarios.

Step-by-step explanation:

The probability of overbooking can vary depending on several factors such as the industry, historical data, and the reservation policies in place. If overbooking occurs frequently, it suggests that the probability of overbooking is not small, and changes might be needed to reduce the likelihood of overbooking. On the other hand, if overbooking is an unusual event, then the current system might be acceptable. It can be compared to assessing the probability of a student carrying change or having taken the bus recently; such probabilities are specific and depend on observed outcomes. For example, overbooking might be common in airlines due to the assumption that a certain percentage of passengers will not show up. However, if the likelihood of no-shows changes or if customer satisfaction is impacted, airlines might revise their overbooking policies to reduce the probability of this happening.