Deltas executives respond by pointing to its superior


In preparation for their 2008 merger, Delta Airlines and Northwest Airlines undertook a comparative study of their on-time performance. The following table shows each airline's on-time record for a common two-month period for three cities where they both operated.

Delta Airlines Flights     Northwest Airlines Flights

 

New York

Total

1987

Late

484

Total

399

Late

120

Chicago

718

118

1123

222

Memphis

193

24

536

70

Total

2898

626

2058

412

 a. Northwest's operations executives claim to have superior overall on- time results. Does the data support this claim?

b. Delta's executives respond by pointing to its superior performance at key cities. Does the data support this claim?

c. Explain carefully how to reconcile your answers in parts (a) and (b). In your view, which is the better measure of performance-an aggregate measure or a disaggregate measure?

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Microeconomics: Deltas executives respond by pointing to its superior
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