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solution

Darlington Raceway is one of the most important tracks in the history of NASCAR. Opened in 1950, Darlington Raceway became a model for many superspeedway tracks that would be built later in the 1950s and 1960s. For many years, NASCAR held two Sprint Cup Series races at the track—one in the spring and one on Labor Day weekend. In 2003, because of decreased demand for the spring Darlington race and NASCAR’s desire to expand its presence to other areas of the United States, Darlington’s schedule was reduced to one Sprint Cup race.

Case questions

1. How might NASCAR’s decision to reduce Darlington’s races from two to one be received by regular attendees at both events?

2. How might NASCAR’s decision affect ticket pricing for the one remaining Darlington race? Explain your answer, referring to the economic and financial principles discussed in this chapter.

3. What would you guess has happened to Darlington’s attendance at its one Sprint Cup race?

4. Did NASCAR make the correct decision in this situation? Explain and justify your answer.

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