a company reduces the prices on its product what will be the outcome? a company

Question

a company reduces the prices on its product what will be the outcome?

a company perceives that its has inelastic demand and unit variable costs remain static despite volume. A Slight increase in the price of the product should?

a store coupon for 20 off any single item" affects all of the following

Jeremy went to the ticketron website to purchase a ticket to a concert by a popular rock band. the normal ticket price was $54 plus 17.50 for a convenience and order processing fee.However, Ticketron was discounting  last-minute tickets price was

if a manufacturer offers a product rebates and the seller offers additional incentives,it will most likely accomplish which ot the following?

Explanation / Answer

The demand for the product will just increase, Reduction of price leads to increase in demand

If the company is sure that the demand is inelastic then it can go ahead with the price increase, This is not a new penomenon in pharma and tobbaco companies they usually increase prices and do not see sales drop

If you offer 20 off on any single item you can be sure about one thing, People will come to shop and then go ahead to buy the single item and leave. This might even lower the sales

54+17.5= 71.5 and if you offer 20 off then it would be 51.5

The sales of such product will increase drastically, The seller volume will increase and even producer will be at benefit due to higher sales.

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