Other >> Sales & RetailMaximizing Profit for a Concertby Dylan Simoncelli
Submitted : Fall 2017 If you owned a part of a concert and got an overall percentage of the sales from food, drinks, and ticket sales, you would want to maximize your profit. In order to maximize your profit it is important to understand all of the unknown variables that come into play. These unknown variables can be listed as Diophantine equations. There are more than 2 unknown variables and multiple variables can affect the results of the other variables. Understanding the size of the venue, VIP area, general admission area, and other factors will determine your gross revenue.
In order to do this, you need to look at previous concerts data and analyze the margins of the actual values to the projected values, and the difference to the maximum. The second biggest factor is common sense. Using your common sense, you can determine realistic percentages of ticket prices, and the amount of tickets for general admission in comparison to VIP entry. Conclusions that can be drawn from this experiment include the realization that profits can be altered based on the adjustment of a few variables. Related Links:
|