Author(s): Dr. Prem Prakash Dewani
The case discusses the application of market research technique for pricing a product and service at very first time (Movie ticket pricing in a multiplex in tier-2 city in emerging market), along with demand forecasting, revenue maximization and understanding break-even analysis. Further, how a survey is designed, the instrument is validated, data is collected and analyzed and how the survey is implemented, is discussed in details in the case. The case also discusses that how price elasticity is used to forecast the demand and understand consumer behavior in an emerging market. Further, the subtle relationship between pricing and its possible impact on the sale of auxiliary products and how the demographics of the target audience influence decision making of consumers in emerging economies are discussed.