Asked by Stephanie Saunders on Sep 24, 2024
Verified
You own two different energy drink brands: "Blue Cow" and "600 minute energy." If you reduce the price on "Blue Cow",sales of "600 minute energy" would
A) Increase
B) Decrease
C) Not change
D) None of the above
Sales
The exchange of a commodity for money; the action of selling something.
Energy Drink
A type of beverage containing stimulant compounds, typically caffeine, designed to provide mental and physical stimulation.
- Discern the implications of price changes on the demand and sales of assorted products.
Verified Answer
KR
Kelli Reynolds5 days ago
Final Answer :
B
Explanation :
If the price of "Blue Cow" is reduced, customers may switch from "600 minute energy" to "Blue Cow" due to the lower price, resulting in a decrease in sales of "600 minute energy." Therefore, the best choice is B, which indicates that sales of "600 minute energy" would decrease.
Learning Objectives
- Discern the implications of price changes on the demand and sales of assorted products.
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