Impact on revenues generated from sales
Problem: What would be the impact on revenues generated from sales of a. consumer line desktops and b. high profile enterprise level desktops if the firm raised the price of the product? What if the firm lowered the price?
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What would be the impact on revenues generated from sales of a. consumer line desktops and b. high profile enterprise level desktops if the firm raised the price of the product? What if the firm lowered the price?
Problem: Is the price elasticity of demand for desktops (comsumer line & high profile sommercial line) price elastic or price inelastic?
What kind of advertising campaigns is this company currently engaged in? What kind of media do they advertise in, for example television, the internet, etc.?What kind of public relations efforts does this company engage in?
There are six condition given. Assuming only PRICE changes. 1. Elastic demand and Price rises. 2. Inelastic demand and Price rises. 3. Elastic demand and Price falls. 4. Inelastic demand and Price falls.
The organization's strategic plan calls for an aggressive growth plan, requiring investment in facilities and equipment, growth in productivity, and labor over the next five years.
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