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This is an estimation question
Step 1: Clarify:
1) I assume its sub-orbital space travel e.g. like the ones offered by Virgin Galatic and Blue Origin.
2) Assumption- Virgin Galatic is pitting their target price of ticket would be 250K. I will consider 500K as the price of a ticket.
3) I will only target US geography
Step 2: Master Equation:
Number of high networth households * number of people in a household healthy enough to take a space flight * % of individuals who would want to take a space flight * price of a ticket
Part 1- Number of high networth households = Total households * Household making an income of >$1 Mn/year
Total Households= Total Population/Avg size of household =330M/4= 82.5 Mn
Number of high networth households= 82.5 * 1%= 8.25Mn households -->A
Part 2- number of people in a household healthy enough to take a space flight = 2 individuals/household with ages <60 year=
23% of population is >60 years of age.
number of people in a household healthy enough to take a space flight = 8.25M *2*67% = ~ 11 Mn individuals
Part 3
% of individuals who would want to take a space flight will same as the number of peope who would be interested in extreme sports=5%
Hence, size of the market is 11 Mn * 5% * 500K/ticket = $275 Bn.
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