Is alcohol advertising impacting the price and/or demand of alcohol?
Is alcohol advertising impacting the price and/or demand of alcohol?
Homework Answers
True,
It is true that the demand for alcohol comes under the inelastic demand because even there is a very high change in price, but the quantity demanded is very less affected
but if any company promotes its alcohol brand in some way like quality ,best taste etc. then it might create an edge over other competitors
since alcohol market is a monopolistic market because good is almost same but they are different in some way like brand ,quality , packaging ,etc
Hence the advertising play an important role in the the price or demand of alcohol
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Is alcohol advertising impacting the price and/or demand
of alcohol?
Suppose the price elasticity of demand of alcohol is -2, the cross-price elasticity of demand between...
Suppose the price elasticity of demand of alcohol is -2, the cross-price elasticity of demand between alcohol and the price of marijuana is -0.5, and the price of marijuana has increased by 10% because of the drug busts. What would have to happen to the price of alcohol to exactly offset the rise in the price of marijuana and leave the quantity demanded of alcohol unchanged?
In a perfectly competitive market, if market demand increases as a result of advertising, the price...
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In a perfectly competitive market, if market demand increases as a result of advertising, the price...
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pls can someone help me with this pls? review carefully Explain how advertising influences the demand...
pls can someone help me with this pls? review carefully Explain how advertising influences the demand for a firm's product. A. Successful advertising increases demand for the firm's product and increases economic profit. New firms enter the market, and demand decreases for any one firm in the market. B. Successful advertising always increases demand for the firm's product in the short run and in the long run. Firms would not advertise if this was not true. C. Any advertising makes...
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