Case study: World Gym began operations in $1995$ in a large city. The company's objective was to meet the fitness needs of a diverse clientele, from the professional body builder to the overweight person, World Gym$\text{'}$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 its services in big spacious centre in a high$-$traffic area, a part of city that was becoming gentrified. 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 neighborhood, but all around the city. It saw its trade area as the neighborhoods within an $8-10$ minute drive. 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$.$ World Gym membership far exceeded expectations. It now has $3,000$ members. As many as $2,000$ people come on a given day. For years World Gym had few serious competitors. In the city, permits are required to open a gym and thus are an obstacle to potential competitors. And the cost of opening a $35,000-$square$-$foot facility is an additional barrier to entry Questions Question: Was World Gym$\text{'}$s pricing plan appropriate in a market where there was a relatively low supply of services?