Company ceo the price strategy for the spring

Assignment Help Business Economics
Reference no: EM132367285

Imagine you are one of the managers in your company, and in the next business meeting you will be discussing with other managers and the company's CEO the price strategy for the Spring, Summer, Fall, and Winter seasons this year. Your price strategy would be one of the following:

  1. increase the price of the main product your company produces
  2. decrease it
  3. keep it unchanged

To make this decision, you will use the information from a report that the CEO provided you last week about the price elasticity of demand. You need to decide on your own what this report contains.

As an example, you can consider that the report states that the price elasticity of demand for your company's product last year has been -1.4 from January to May, -0.8 from June to Sept, and 1.8 from Oct to Dec.

Which price strategy would you propose, and what economic arguments would you use? What other arguments may provide additional support for your proposed price strategy?

Reference no: EM132367285

Questions Cloud

Describes how the supply-demand diagram : Describes how the supply & demand diagram (the theoretical model predictions) could explain the price change discussed in the article.
Explain japan religion and culture : Explain Japan religion and culture and which one play a significant role in this particular country?
Currencies for boosting exports : In which way can export-led economies, make themselves more resilient and less dependent on the weakness of their currencies for boosting their exports?
Read decision point-who needs ethics : Read Decision Point: Who Needs Ethics? Can the Market "Fix" discrimination? (p. 292) and answer questions at the end of the exercise Laura P. Hartman
Company ceo the price strategy for the spring : Imagine you are one of the managers in your company, and in the next business meeting you will be discussing with other managers
Why did the recession spread globally : Why did the recession spread globally? Why did devaluation help countries recover?
What is the trilemma : What is the trilemma? How does it relate to the gold standard? What happens if a country's currency is pegged too high? Too low?
How do you want your exchange rate to work : What sort of monetary system would you design for your new state? In particular, how do you want your exchange rate to work?
How are economic institutions related to political : How are economic institutions related to political institutions? How might political economy help explain

Reviews

Write a Review

Business Economics Questions & Answers

  Transportation system and education facilities

President-elect Donald Trump has proposed several economic policies. On spending, Mr. Trump intends to modernize the U.S. infrastructure, including the transportation system and education facilities, and to strengthen the military. Are these economic..

  Rationale for each decision made

Define the market to survey and give your rationale for each decision made. Decide how many employers to survey and give the rationale for your decisions.

  Consider the market demand for a given good

Consider the market demand for a given good. If ED= -2.5 at the current market price, then a 1 percent decrease in price will result in a:

  Explain these effects assuming other things were equal

Discuss how changes in household disposable income, housing and stock wealth, and debt-generated movements along and shifts in the U.S. saving function. Explain these effects, assuming other things were equal.

  Illustrate what is the net current value of a project

Illustrate what is the net current value of a project that requires a $100 investment today and returns $50 at the end of the first year and $80 at the end of the second year? Assume a discount rate of 10%.

  Equilibrium of simultaneous move game

If they both hire consultants, they cancel each other out and they expect to get half the pot minus the consulting costs.

  Proposed acquisitions or mergers in an industry

"In granting (or prohibiting) proposed acquisitions or mergers in an industry, government regulators consider a number of factors, including the acquisition's effect on concentration, ease of entry into the market, extent of ongoing price competit..

  What is the price level

Using the quantity theory of money, suppose that this year's money supply is $50 billion, nominal GDP is $1 trillion, and the real GDP is $500 billion.

  How can they money supply fall when the base increases

The monetary base increased by 20% during the contraction of 1929-1933, but the money supply fell by 25%. Why did this occur?

  Analyze a budget estimate

Categorize the estimate and compare its accuracy with the AACE International standards. How did your account for "change orders?"

  Trade and economic growth

Explain the difference between comparative advantage and absolute advantage. Trade has been ubiquitous throughout history. Why? What role can trade play in the growth of an economy.

  Relationship between coffee and doughnuts

A) Given the cross-price elasticity of demand, what is the relationship between coffee and doughnuts? B) If the price of coffee increases by 2% what will be the change in demand for doughnuts?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd