Asked by Angelica Ibarra on May 05, 2024
Verified
Products for which customers are price sensitive are said to be ______.
A) price elastic
B) price inelastic
C) price volatile
D) price subjective
Price Elastic
Describes a situation where the demand for a product changes significantly in response to a change in the product's price.
Price Inelastic
A situation where the demand for a product does not change significantly in response to price changes.
Price Volatile
Characterizes a market or commodity whose price is subject to rapid, unexpected, and often large changes.
- Familiarize oneself with the concept of price elasticity and inelasticity and the factors that contribute to their variation.
Verified Answer
DB
Daniel BilonicMay 09, 2024
Final Answer :
A
Explanation :
Products for which customers are price sensitive are described as price elastic, meaning that a small change in price can lead to a significant change in the quantity demanded.
Learning Objectives
- Familiarize oneself with the concept of price elasticity and inelasticity and the factors that contribute to their variation.
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