BUSINESS ADMINISTRATION
BUSINESS ANALYTICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Price Level Optimization
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Price Elasticity
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Supply Chain Optimization
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Modern Logistic Service
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Detailed explanation-1: -When a good or service is a luxury or a comfort good, the demand is highly price-elastic when compared to a necessary good. Conversely, the demand for an essential good, such as food, is generally price-inelastic because consumers still buy food even if the price changes.
Detailed explanation-2: -Four types of elasticity are demand elasticity, income elasticity, cross elasticity, and price elasticity.
Detailed explanation-3: -Elasticities can be usefully divided into five broad categories: perfectly elastic, elastic, perfectly inelastic, inelastic, and unitary.
Detailed explanation-4: -A slight change in the price will make greater changes in demand is known as elastic. A product is considered to be elastic if the quantity demand of the product changes drastically when its price increases or decreases.