Main menu For students For teachers Explore our subjects Student events & courses

Explore

More for students
Sign in

Teaching Business

Blog

U2 on Tour - Investment appraisal and capacity utilisation rolled into one!

Jim Riley

2nd July 2009

Share this content:

A fantastic example of investment appraisal and capacity utilisation in this article in the Guardian, which describes the risks and returns of the new U2 tour.

Here is the link to the Guardian article.

There is much rich business studies to be drawn from the material, including:

- The investment ($100m) compared with the likely returns (ticket sales already of $300m)
- How a change in the stage design (a 360degree stage) allows the tour to increase the capacity of each venue
- Lower than average ticket prices encourage bigger audiences (94% full) - with the potential for more add-on sales (tour merchandise)
- How the market for music sales is moving away from recorded to live

Great stuff…

Share this content:

Jim Riley

Jim co-founded tutor2u alongside his twin brother Geoff! Jim is a well-known Business writer and presenter as well as being one of the UK's leading educational technology entrepreneurs.

You might also like

Exchange rates, and passing on the costs

29th November 2016

BUSS4 Research – It’s All About the Why, Not the What

8th October 2015

The Biz Quiz - 7 October 2015

7th October 2015

Doing Enough Studying?

6th October 2015

The Biz Quiz - 30 September 2015

30th September 2015

The VW Scandal - Deception Explained

24th September 2015

The Haka and Change Management

23rd September 2015

The Biz Quiz - 23 September 2015

23rd September 2015