Describe the impact of deregulation on Genesee and Wyoming's operations.

Deregulation significantly influenced Genesee and Wyoming's operations by allowing for more flexible pricing and service options. This flexibility enables the company to respond to market demands and customer needs more effectively. With fewer regulatory constraints, Genesee and Wyoming can set prices based on competitive factors rather than being strictly governed by regulatory bodies. This not only fosters innovation in service offerings but also allows the company to adapt quickly to changes in the market, ultimately enhancing their competitiveness and efficiency in the railroad industry.

The other choices relate to aspects that are contrary to the reality of deregulation. For instance, deregulation typically reduces regulatory hurdles rather than increasing them, encouraging companies like Genesee and Wyoming to expand without the previous limitations. Similarly, it generally does not inhibit regional expansion, which is often a key benefit of deregulation, as it allows companies to explore new markets without as many restrictions. Additionally, while adjustments to operating procedures may be necessary in any evolving business environment, the primary impact of deregulation is the enhancement of operational flexibility rather than a requirement for significant procedural overhauls.