The stadium manager has been tasked with maximizing total revenue (bound by current capacity, of course). What price should she

Question

Ymorist [56]

2 years ago

15

The stadium manager has been tasked with maximizing total revenue (bound by current capacity, of course). What price should she

set for tickets to maximize revenue?

Business

1 answer:

Andreyy89 · Answer 1 · 2022-09-01T18:41:02+03:00

Answer:

To maximize revenue based on current capacity, The Stadium Manager should set Premium Price for tickets.

Explanation:

If your aim is to maximize revenue based on the capacity of the stadium, Premium Price is your surest best.

Premium pricing is a type of pricing which involves establishing a price higher than your competitors to achieve a premium positioning.

You will attract the right kind of customers and when you set a premium price, you have raised the bar of expectation from your customers.

This will push the stadium to upgrade their customer service, their operations and delivery.

If this method is carried out properly by establishing club memberships and other marketing incentives, you will retain these premium customers and maximize revenue.