Explain the role of demand factor in pricing briefly
Explain the role of demand factor in pricing briefly.
Expert
In the case of pricing of a product, demand plays a significant role. In several cases demand occupies a very important role than cost. A demand is the factor which finds out the sales and profit. We identify as per law of demand, demand and price have inverse association. To raise the demand, the firm has to reduce the price. Likewise to decrease the demand the firm has to raise the price. There elasticity of demand is to be considered with determining the price of the product. When the demand for the product is elastic, the firm can fix lower price. When the demand is inelastic then the firm can fix a higher price.
States the functions and responsibilities of managerial economist?
What are the operational or internal issues of managerial economics?
Illustrates the environmental or external issues.
Automation is the process of: (1) adapting equipment which is safer for workers to operate. (2) kinetic engineering which smoothes flows of work on an assembly line. (3) scientific management of robotic factories. (4) substituting sophisticated machin
what are the criteria for good forecasting
What are the reasons for adopting penetration price strategy?
Illustrates the Scope of Managerial /Business Economics?
Explain the important specific functions of material economics?
When the marginal revenue product of the last worker hired is superior to the marginal resource cost of the worker, in that case the firm: (w) is experiencing increasing returns to scale. (x) can increase its profits by hiring more la
Explain the meaning of business cost.
18,76,764
1956086 Asked
3,689
Active Tutors
1435751
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!