Report on Lipton Ice Tea

good idea of what part of a demand curve looks like if it is to make

* Customer demand: Rather than basing on history and forecast sale of its products, the company should pay more attention in analyzing some uncontrollable factors such as inflation, recession, and currency exchange rate which may affect customers’ buying behavior.

One non-price item that has definitely impacted my demand is the recent increase in minimum wage. Since I have seen a pay increase I am now able to buy things I would not have been able to afford before. Looking at this long term it is likely that the overall price of goods will increase and the market will eventually return to equilibrium. Another factor that has caused me to change my purchasing habits is my change in tastes. Recently I have developed a taste for organic foods so I have decided to stop buying fast food all together as well as processed foods from the supermarket. So in terms of my individual demand curve for fast foods and processed foods it will cause a leftward shift. This will also cause a rightward shift of the organic foods demand curve. Another instance involves changes in expectations. This factor has the ability to simultaneously affect supply and demand. If I expect that prices for goods are going to increase at a later date my demand will increase now. If suppliers foresee prices rising in the future they will supply less now and supply more when the prices are higher. Overall there are many different factors that affect how individuals

The t-test is a parametric analysis technique used to determine significant differences between the scores obtained from two groups. The t-test uses the standard deviation to estimate the standard error of the sampling distribution and examines the differences between the means of the two groups. Since the t-test is considered fairly easy to calculate, researchers often use it in determining differences between two groups. When interpreting the results of t-tests, the larger the calculated t ratio, in absolute value, the greater the difference between the two groups. The significance of a t ratio can be determined by comparison with the critical values in a

13. If price elasticity of demand = -1.5 and price decreases by 20 percent, then

It tells that the t-statistic with 97 degrees of freedom was 2.14, and the corresponding p-value was less than .05, specifically around 0.035. Therefore, it is appropriate to conclude the research study was statistically significant.

B) A test statistic of t = 1.813 with d.f. = 15 leads to a clear-cut decision.

Since P value is 0.049 which less than o.o5, the null hypothesis is rejected. The sample supports the alternative hypothesis that the mixing rate of the machine is less than 5 gallons per minute.

Demand refers to the quantity of products people are willing and able to purchase during some specific time period, all other relevant factors being held constant. Price and quantity demanded stand in a negative (inverse) relationship: as price rises, consumers buy fewer units; and as price falls, consumers buy more units (Stone 75).

2.) Which curve(s) change and based on the lists in the text of what causes demand and supply to shift what are the causes of theses shifts? D1 changed moving leftward indicating a decrease in demand due to a technological change: a technological setback causes a decrease. This causes price to go down as well as the demand is lower.

Income elasticity measures the responsiveness of consumers to changes in their incomes (McConnell, p 88). Demand for normal goods tends to increase as consumers’ incomes increase and conversely, demand for inferior goods tends to decrease as consumers’ income increases.

Table~\ref{tab:example1} shows the coefficient for Batting Average which is 5.4, this mean that 1 unit of increase in batting average produce a 5.4 increase in balco scandal variable. If our measure of batting average is equal to zero, we would expect the efect of steroides (balco scandal) decrease in a 1.5\%. The t value calculated is greater than the critical value of t thus we can reject the null hypothesis in this case. The p value shows a statistical significance at 95\% of confident.

There are several factors that cause changes in demand, such as consumer tastes and preferences, consumer income, consumer expectations, prices of other related products, and the number of buyers or consumers. In the example of people wanting to pick the gender of their children, the increase in the demand curve can be attributed to a change in consumer tastes and preferences as well as the number of buyers. From the article, there has been in increase the amount of people who want to balance their families and pick the gender of their child. This illustrates the concept of an increase in consumer tastes, ultimately causing a shift in demand. The article also states that the number of people interested in picking the gender of their chills has increased, signifying a rise in the number of buyers. This

Figure 1 demonstrate that when Coca-Cola price goes down from $2.00 to $ 1.50 the demand of quality rises from 4 to 6. When Coca-Cola wants to get their consumers attention price is no the only factor that matters and sure it doesn’t determinate how much people will pay for the product.

Sweet Leaf Tea has an incredible way of communicating right . Though it started small , it eventually became a success . The company kept a strong corporate strategy of communication through Facebook and Twitter and other social media websites. In fact online platform and social media are the best way to communicate and retain fans. Social media is the best way to gain millions of people across the world . Therefore the founders of SLT had the idea to communicate strongly through social networks. They initially started writing blogs, tweets and created a facebook page to market the SLT. They announced a concert online, which attracted many people in a very short time. Although SLT should have focused more on the capital investments right from