Conducted market research study

Assignment Help Business Economics
Reference no: EM13852486

You operate a small but popular and profitable restaurant/bar in a college town. There are several other restaurants and bars nearby. You have conducted a market research study and discovered that the price elasticity of demand for local residents is lower (less elastic) than the price elasticity of demand for college students, who are usually in town only while the college is in session about 9 months out of the year. Discuss at least two pricing strategies you can use to increase your revenues and analyze them in terms of their ability to generate additional profits. Indicate any additional assumptions you are making

Reference no: EM13852486

Questions Cloud

Market for synthetic leather baseball gloves : If aliens come and take a large percentage of our cows what happens in the market for synthetic leather baseball gloves? (Assume a normal competitive market)(Show the graph, label all relevant points, and explain what happens to price and quantity. E..
Measures the percentage change in the quantity of good : ____________ measures the percentage change in the quantity of good x resulting from a percentage change.
Suppose the price elasticity of demand for bread : Suppose the price elasticity of demand for bread is 1.00. If the price of bread falls by 20%, the quantity demanded will increase by: Suppose that a 20% decrease in the price of good Y causes a 20% increase in demand for good X. The coefficient of cr..
Decrease in price on the traffic rate and daily revenue : Given a daily traffic rate of 6000 cars, a toll of $26.00 per car, and a price elasticity of -1.4. What would be the effect of a 50% decrease in price on the traffic rate and daily revenue?
Conducted market research study : You operate a small but popular and profitable restaurant/bar in a college town. There are several other restaurants and bars nearby. Discuss at least two pricing strategies you can use to increase your revenues and analyze them in terms of their abi..
About the monetary system : A brief look at Viet Nam's banking system, including its development, the role of the central bank, the currency, and the central bank’s influence on the level of prices. Interaction of the monetary system with the government’s fiscal policy, includi..
Compare expected values and risk associated with each option : Assume the operations manager at the company you own prefers to put in low effort rather than high effort. In order the manager to exert high effort, his expected financial gain must be at least $60,000 higher than if he puts in low effort. Discuss t..
Price elasticity of demand for the firm : Having worked for many of the firms in the petroleum industry, you know that the price elasticity of demand for a representative firm is about −1.25. An industry publication recently reported that the Rothschild index for the petroleum industry is es..
Find the level of output that revenue is maximized : How do I find the level of output (Q) that revenue is maximized?

Reviews

Write a Review

Business Economics Questions & Answers

  Which company product provides greatest value-created

Which firm's product provides the greatest value-created. In an industry equilibrium in which the firms achieve consumer surplus parit.

  Zero salvage value with the SL method

Zero salvage value with the SL method. This machine will produce metal parts that will generate revenues of $180,000 (time zero dollars) per year. It is a policy of the company that the annual revenues will be increased each year to keep pace with th..

  Briefly explain why empirical consumer demand studies

Briefly explain why empirical consumer demand studies such as Patrick McCarthy's study of automobile demand are relevant to managers?

  Compute the compensated demand

Compute the compensated demand (at the new prices) for the following utility functions. Assume I = 1, initial prices are px = 1 = py, and price of x rises to p?x = 3 while py is unchanged.

  Profit-maximizing quantity of bentonite

Suppose that the demand for bentonite is given by Q = 40 ? 0.5P, where Q is in tons of bentonite per day and P is the price per ton. Bentonite is produced by a monopolist at a constant marginal and average total cost of $10 per ton. How much profit i..

  Looking backplease respond to the followingbull thinking

looking backplease respond to the followingbull thinking about everything you have learned in this course discuss the

  Each firm is deciding to offer a frequent flyer program

In the Castorian Airline market there are only two firms. Each firm is deciding whether to offer a frequent flyer program.

  Credit frictions themselves as source of business cycles

Many papers look at the impact of credit frictions onto business cycles, and they almost unambiguously find that credit frictions work as an amplification mechanism of other shocks. A lot of these models (in the tradition of Kiyotaki and Moore) have ..

  Hands of management and inhibit efficient decision making

Unions tie the hands of management and inhibit efficient decision making. Unions contribute to economic efficiency in that union wage pressure hastens the weeding out of the high-cost, least efficient producers in each industry.

  Explain how will impact blackspot bottom line

You are manager of BlackSpot Computers, which competed directly with Condensed Computers to sell high-powered computers to businesses. Explain how will impact BlackSpot bottom line.

  Culmulative cash flow and conventional payback period

Cute Camel Company is a small firm and several of its managers are worried about how soon the firm will be able to recover its initial investment from Project Delta's expected future cash flows. How much value does the discounted payback period metho..

  Whay tara is leaving her current job

Whay Tara is leaving her current job, which pays € 56,000 per year, to start a new company that manufactures a line of special pens for personal digital assistants.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd