The difference between demand curves of normal product and prestige product along with the meaning of “demand shifts” and their importance for a marketer and the estimation of demand by firms and estimation of elasticity of demand by marketers. Introduction: Demand curve is a graphical representation of how quantity demanded changes due to change in prices, other factors being constant. Elasticity of demand is a measure which measures change in quantity demanded by the consumers due to change in price, other things being constant. One can categorize the demand as “elastic” or “inelastic” based on how much a certain product is responsive to price changes.

Question

Based on the scenario, how can you define the importance of the price of a product in attractingcustomers?

Answer 1

Question

Chapter 10, Problem 3QA

Summary Introduction

To explain: The difference between demand curves of normal product and prestige product along with the meaning of “demand shifts” and their importance for a marketer and the estimation of demand by firms and estimation of elasticity of demand by marketers.

Introduction:

Demand curve is a graphical representation of how quantity demanded changes due to change in prices, other factors being constant.

Elasticity of demand is a measure which measures change in quantity demanded by the consumers due to change in price, other things being constant. One can categorize the demand as “elastic” or “inelastic” based on how much a certain product is responsive to price changes.

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Choose a product, develop a marketing mix, competitve advantage, pricing, media strategy You will need to choose a product that you would like to market: Using the Internet, you will need to develop all of the following: 1: A marketing mix and a competitive advantage for the product 2: A consumer survey designed to help determine the marketing mix and competitive advantage 3: A product line with at least two additional products in your line 4: A pricing strategy, a price, and a rationale explaining the price of each of your products Remember to consider turnover, competition, and elasticity of demand in your strategy 5: A contingency plan in case your product does not sell at the initial price along with a rationale for your plan 6: A media strategy for marketing the product including an image and position to be developed, types of promotion to be used, and media to be used Remember to specify the advantages of the chosen media, frequency, and continuity to be used