Th3.6: ^^ Performance Targets

Question 1

What can regulators introduce?

Answer 1

yardstick competition, such as setting punctuality targets for train operating companies based on the best-performing European train operators

Question 2

It is also possible to split up a service into regional sectors to…

Answer 2

compare the performance of one region against another

Question 3

What could they do to help firms improve their service, leading to gains for customers?

Answer 3

they could set targets over price, quality, consumer choice and costs of production

Question 4

What are the two problems here?

Answer 4

firms will resist the introduction of targets, so it requires political will and understanding
they will also attempt to find ways to meet targets without actually improving e.g changing train timetables to prevent trains officially arriving late

Question 5

Why may there be no improvements?

Answer 5

other firms may fail to meet their performance targets

Question 6

What does the government need to do to ensure targets are met?

Answer 6

ensure that fines and other deterrents are strong enough that firms at least work to ensure targets are met