Imagine that Sunshine sunflower margarine, a well-known brand, is advertised with the slogan, It helps you live
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Imagine that ‘Sunshine’ sunflower margarine, a well-known brand, is advertised with the slogan, ‘It helps you live longer’ (the implication being that butter and margarines high in saturates shorten your life). What do you think would happen to the demand curve for a supermarket’s own brand of sunflower margarine? Consider both the direction of shift and the effect on elasticity. Will the elasticity differ markedly at different prices? How will this affect the pricing policy and sales of the supermarket’s own brand? Could the supermarket respond other than by adjusting the price of its margarine?
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Related Book For
Essential Economics For Business
ISBN: 9781292728940
7th Edition
Authors: John Sloman, Elizabeth Jones
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