Calculating own price and cross price elasticity of demandb

Assignment Help Business Management
Reference no: EM13369258

Calculating own price and cross price elasticity of demand

B. Lean is a catalog retailer of a wide variety of sporting goods and recreational products. Although the market response to the company's spring catalog was generally good, sales of B.B. Lean's $140 deluxe garment declines from 10,000 to 4,800 units. During this period, a competitor offered a whopping $52 off their regular $137 price on deluxe garment bags.

a) Calculate the arc cross-price elasticity of demand for B.B. Lean's deluxe garment bag.

b) B.B. Lean's deluxe garment bag sales recovered from 4800 units to 6000 units following a price reduction of $130 per unit. Calculate B.B. Lean's arc price elasticity of demand for this product.

c) Assuming the same are price elasticity of demand calculated in part B, determine the future price reduction necessary for B.B. Lean to fully recover lost sales (i.e., regain a volume of 10000 units).

Reference no: EM13369258

Questions Cloud

How to run successful meetingsdevelop a thesis and an : how to run successful meetingsdevelop a thesis and an outline for a formal report about how to run successful meetings.
Prospective managers and overseas assignmentprospective : prospective managers and overseas assignmentprospective managers should prepare satisfactory answers to a number of
Benefitsdrawbacks of team interviewsfor instance1 three to : benefitsdrawbacks of team interviewsfor instance1 three to four people will review the applications and make
This is hospitality strategic management concepts and cases : this is hospitality strategic management concepts and cases and why should sociocultural influences be monitored? what
Calculating own price and cross price elasticity of demandb : calculating own price and cross price elasticity of demandb. lean is a catalog retailer of a wide variety of sporting
Calculating optimal output price and consumer : calculating optimal output price and consumer expendituresuppose a perfectly competitive industry cab produce roman
Sales forecasting for schonlind companysales : sales forecasting for schonlind companysales forecastingnote it is expected that this problem will be completed using
Criteria for evaluating employee performancewhat are your : criteria for evaluating employee performancewhat are your thoughts on evaluating an employees performance based on what
Which career management perspective most resembles your : which career management perspective most resembles your current workplace individuals focusing on themselves the

Reviews

Write a Review

 

Business Management Questions & Answers

  The relationship between communication and identity find

the relationship between communication and identity. find how you currently communicate your gender social and cultural

  Impact of technology innovation on social change

Creative disruptions (disruptive technology and impact of technology innovation on social change

  Organizational and societal functions of public relations

organizational and societal functions of public relations prfrom the following list select at least two functions you

  State purpose of the implementation phase of the legislation

He has to advise his congressional committee on the impact of interest groups on legislation. Write the memorandum to explain the purpose of the implementation phase of the legislation.

  Recession the demand for debt product

APR is annual rate of interest thatis charged for borrowing expressed as a single percentage which represents the yearly cost over the term of the loan, including any fees and additional charges associated with the transaction - DB123 TMA 2

  Customer service-good and bad experiences and why

Share some stories about recent positive and negative customer service experiences. What specifically made these experiences either good or bad?

  Highlighted global standardization

Why do you ponder that Roberto Goizueta switched from a strategy that emphasized localization towards one that highlighted global standardization? What were the remunerations of such a strategy?

  Assume that the lifetime of one brand of battery

Assume that the lifetime of one brand of battery is normally distributed with a mean of 700 hours and a standard deviation of 60 hours.

  Use of hr technology

The use of HR technology has grown rapidly in the past decade as workforce technologies are used to transform the way HR delivers its activities.

  Managers show behaviors they expect from their followers

Managers have to exhibit the behaviors that they expect their followers to display.

  Response on the best leader for respective roles

Write a response on the best leader you ever worked with: Describe your respective roles and the context in which you interacted?

  Prepare an organizational plani need help with the

prepare an organizational plani need help with the following questions please as i attempt to develop an organizational

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