Relationship between price and quantity demanded

Assignment Help Management Theories

Reference no: EM131800674

Question: Suppose that your firm has steadily seen units sold rise over time. In the recent past, your pricing manager increased price on units and you are asked to evaluate it. What you see in your analysis of the trends is an continued increase in units sold, albeit at somewhat of a lesser rate for a period of time.

How do you use economics to explain this to your management? After all, economics holds that the relationship between price and quantity demanded is inverse, according to your manager.

Reference no: EM131800674

Questions Cloud

Identification and articulation of relationship : A literature review goes beyond the search for information and includes the identification and articulation of relationship between the literature

What is slope of the line representing objective function : Suppose a company sells two different products, x and y, for net profits of $6 per unit and $3 per unit, respectively.

Explain the notions of mathematical differences : Explain the notions of mathematical differences, managerially important differences, and statistical significance.

Describe the steps in the procedure for testing hypotheses : Describe the steps in the procedure for testing hypotheses. Discuss the difference between a null hypothesis and an alternative hypothesis.

Relationship between price and quantity demanded : How do you use economics to explain this to your management? After all, economics holds that the relationship between price and quantity demanded is inverse.

Which theme appears to have more appeal overall : How does the appeal of the campaigns differ between men and women? What is your basis for that conclusion?

What is the best way to value ssrm in down times : What is the best way to value SSRM in down times (current economic conditions)?

Where have you recently seen the use of statistics : Where have you recently seen the use of statistics and data analysis where you might not have expected it? How was it being used?

Why are managerial writing skills so important : Why are managerial writing skills so important to organizational factors such as morale, culture, motivation, and collaboration?

User Account

All Pages