Answer me this ASAP.

Question 3 Study the case given below and answer the questions given at the end. Islamabad Gym Islamabad Gym began operations in 1995 in Islamabad. The company's objective was to meet the fitness needs of a diverse clientele, from the professional body builders to the overweight persons as well as fitness conscious people. Islamabad Gym's pricing plan was to have a fitness facility that targeted the common person- a fitness facility that was not on the high end or the low end, but in the middle price range. In the beginning, it planned to challenge the price of the top-of-the-line facilities. It offered it services in big spacious centre in blue area. There was little competition in the area. The establishment's large space, with natural light coming in, set it apart from competitors. The company expected its members to come from other clubs and facilities not only in the immediate neighbourhood, but all around the city. The company decided to begin by marketing its product to people who were already working out but wanted something unique. When the company opened its fitness facility, consumers readily accepted it. Islamabad Gym membership far exceeded expectations. It now has 3,000 members. As many as 2,000 people come on a given day. For years Islamabad Gym had few serious competitors. In Islamabad, permits are required to open a gym and thus are an obstacle to potential competitors. And the cost of opening a 25,000 square-foot facility is an additional barrier to entry. Questions (a) Over time Islamabad Gym's membership exceeded expectations. Demand was strong and constant. What impact might this situation have on the company's pricing strategy? 10 Marks (b) Suppose the company learns that two new competitors plan to open fitness facilities within a mile of Islamabad Gym. How might the increased supply of services affect Islamabad Gym's pricing policy? 10 Marks