2 Buyer Power

a Number of customers

b size of each order

c differences between competitors

d price sensitivity
e cost of changing
Bengaluru Kochi

10,000 daily 12,000 daily

general ticket for 870 and express 1740 general ticket for 720 and express
on weekday, general 1070 and express of 1440 on weekday, general 900 and
2140 for weekend express of 1800 for weekend
price is lower and competitive as compared to competitors

Owing to the large number of rides

as compared to its competitors in
In bangalore the only other competitior and around kochi, even if the prices
is Fun world whose prices are little lower rise by a small percentage the price
than wonderla. However owing to its sensitivity will be low since the
brand name and the services offered the footfall has been continually
price sensitivity is medium or more on increasing over the years from FY06
lower side to FY15
Hyderabad (started in April 2016
Has the capacity of 10,000 visitors
daily

general ticket for 950 and express

1500 on weekdays, 1100 per adult
on weekends

early first mover advantage and due

to lack of entertainment options no
price sensitivity
Contribution Analysis
FC p.a 100,000
capacity 10,000
Cap utilisation 90%
no of units produced 9,000.00
Fc per unit 11.11
VC per unit 6.00
TC per unit 17.11

cost will come down if cap utilisation goes up and vice versa
If any business has more FC, they don’t mind reducing their price to increase their volume
if prod increases then costs can be bought down
If more VC then cost cannot be reduced