Answer to Question #215823 in Management for Bios

Question

What unique business model can movie theaters adopt? Think of unique pricing strategies, marketing strategies, etc.

Answer 1

The unique business model that movie theaters can adopt is price discrimination. Movie theaters could sell tickets on discounted basis where both children and adults’ tickets are given on discount. Though the tickets cost less, both children and seniors can watch the same movie and sit on the same seats because customers pay the full cost for the tickets. The experience on the purchased tickets is the same while prices different based on the different demographics.