Question
Suzie runs a fish market. Five days a week she sells fresh caught fish. She usually sells 20 to 25 fish a day. She charges
Suzie runs a fish market. Five days a week she sells "fresh caught fish". She usually sells 20 to 25 fish a day. She charges customers $15/fish, but she knows her competitors' prices range from $11/fish to $19/fish. Suzie buys the fish directly off the boat for $5 each, and then she pays Josh $10/hour to process the fish and prepare them for sale. It only takes Terry two hours each day to get the fish ready to sell. Suzie is buying the building she uses for the market. Her monthly mortgage payment is $600.
If fish are her only product, is this business a good one for Suzie? Explain why or why not, including how Suzie should price her fish. Do you have any other product or pricing suggestions for Suzie?
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