Kay Cinema: Pricing Dilemma for Delhi NCR Region
Prem Prakash Dewani and Achint Nigam
Indian Institute of Management, Lucknow, India
Manoj Motiani
Indian Institute of Management, Indore, India
Volume 12: 2017, pp. 135-148; ABSTRACT
The case attempts to apply the concepts of pricing strategy as an element of marketing mix to change the customer value of movie tickets. The case is based on KAY cinemas, a leading multiplex chain in India, observing a decline in its footfall at KAY Delhi. Figuring out the possible reasons for the decrease in its footfall, the biggest challenge facing KAY Delhi was to rethink its pricing strategy to boost its footfall while considering the current image of KAY as a premium brand. The case explains current industry trends and how increases in state level taxes adversely affected the entertainment industry and cinema theaters in the National Capital Region (NCR), Delhi, in India. The case can be used to explain how pricing strategy can be used to increase short-term and long-term profits for the firm.
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