Thursday, September 29, 2011

Floyd Mayweather vs. Victor Ortiz

The fight between Floyd “Money” Mayweather and Victor Ortiz was a huge success bringing in a profit of two million dollars to the MGM Theater in Las Vegas. In addition to that  paper view costs were as high as $59.99 accumulating tons of money. The MGM accommodates 17,000 people which means more people to purchase food and drink. This would be a demand as the demand for food and drinks go up the cost would go down. If you attend the fight you might have to weigh the costs and benefits. The cost would be paying for your ticket, driving or flying to the Theater and other things. The benefits would be a great memory that would last a life time. The MGM got a lot of money from this event as well as Mayweather who took in an impressive 40 million dollars after he cheap shot Ortiz in the 4th round to win. This event could be seen as a luxury good. The fight isn’t something that we need and can’t live without but is something that we get enjoyment out of.

2 comments:

James P said...

If the fight is a luxury it would be an elastic good. Why do people pay so much money to watch people fight?

Anonymous said...

Thanks for commenting.
Yes I would agree with you it would also be an elastic good. I believe People pay money for things they are interested in or enjoy. In this case the people who attended this event enjoy watching fights like many people enjoy watching football, golf etc.
Colton U