Six Flags' (NYSE: SIX) stock has fallen by roughly 50% so far in 2022. That decline was driven by a number of issues, but a big piece of the story is that management began a major overhaul of the company's business model. In such situations, there are always two questions that need to be asked: First, is the new business model reasonable? And second, can the company afford to make the transition?

Here's what well-informed investors already know about Six Flags as they think about its future.

Six Flags operates regional amusement parks, many of which are basically seasonal operations. Historically, it had focused on getting as many people through the front gates as possible. Its efforts to boost traffic often included offering free tickets, with the expectation that people who get in for free would still end up buying food and other things in the park ("in-park spend," in industry lingo). 

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Source Fool.com