The pandemic has been hard on business and individuals.

The economy
has declined and consumer spending has reduced. People are more price
sensitive than ever because they either have lost income or are afraid of
spending money because of the unpredictability of the market. As a result,
many high-end manufacturers and restaurants are struggling with sales.
Let’s turn our attention to high-end restaurants. XYZ is a Michelin Star,
high-end sushi restaurant, with prices starting at $40 per sushi roll.
Customers enjoy the world-class service and ambiance of the restaurant.
This all adds to the price justification of $40 per roll. Now that the pandemic
has shut down dining services, the restaurant cannot serve people. They
are finding it hard to justify the value offered with a $40 sushi roll for take-
out. The cost of the rolls is $20, so they cannot go below this price. The
owner is contemplating lowering the prices to $30 per roll or to offer 25%
coupons (making the price the same as the discount to $30) to customers.
However, his main concern is that this will deteriorate the brand once the
restaurant opens back up.
Answer the following question:
1. What should the owner of the restaurant do? Convince the owner to take
a particular action. Should he discount the price but risk hurting the brand
and alienating his core customers, or should he do something else? Justify
your response. Use sound reasoning, provide examples and details, and
reference any sources that you might use.