BUSINESS ADMINISTRATION
MARKETING MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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elastic
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neutral
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inelastic
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unitary
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Detailed explanation-1: -If demand hardly changes with small change in price, we say demand is inelastic. If demand changes greatly, we say the demand is elastic. If demand is rather elastic sellers will consider lowering their prices.
Detailed explanation-2: -Inelastic demand occurs when demand hardly changes when there is a small change in price. Elastic demand occurs when demand changes greatly for a small change in price.
Detailed explanation-3: -If demand changes with a small change in price, we say the demand is inelastic. If it changes considerably, demand is elastic.
Detailed explanation-4: -Answer and Explanation: Explanation: cars have elastic demand, and so they are not likely to have inelastic demand.
Detailed explanation-5: -The relationship between the supply and demand for a good (or service) and changes in price is called elasticity. Goods that are inelastic are relatively insensitive to changes in price, whereas elastic goods are very responsive to price.