You are the manager of a firm that is producing a highly elastic product (think of a luxury, non-necessity item). The owner of the company is wondering whether she should increase or decrease the price of the product in order to raise revenues from their current levels. What would you tell her and why?

Answer rating: 100% (QA)

I would advise the owner to decrease the price of the product in order to raise revenues Since the p... View the full answer