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It's rational only if you expect that lowering prices would result in enough additional volume to increase profits. If you can boost your prices by 50% and onl
by kemitche 8y ago
It's rational only if you expect that lowering prices would result in enough additional volume to increase profits.
If you can boost your prices by 50% and only lose 20% of your sales, that seems like a win in terms of net profit.
- ghaff 8y agoEspecially when there are so many other forces that probably are causing people to go to movies less. Other entertainment options (no streaming in 2002). Bigger/better TVs in many homes. Honestly, you could tell me I could go to a local movie theater for free and it wouldn't change my behavior (to rarely go) one bit.