To maximize profit using individual prices, the firm should charge a price for laptops ofp=650and a price for printers ofp=100.(Enter your responses as whole numbers.)In turn, profit is π=$2150. (Enter your response as a whole number.)After conducting a costly study, an outside consultant claims that the company could make more money from its customers if it sold laptops and printers together as a bundle instead of separately. Is the consultant right? Assume again that the firm has one customer of each type and that marginal cost is zero. How much does the firm earn in total from pure bundling?The profit-maximizing pure bundle price is $800. (Enter your response as a whole number.)In turn, profit is π=$2400. (Enter your response as a whole number.)Why does bundling pay or not pay?Bundling pays because customer reservation values for laptops and printers in this example are negatively correlated.
