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Topic: Business
Number of pages / Number of words: 2 / 448
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A one-day sale will have a different response than a permanent price decrease.


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Price Decisions

Price elasticity refers to how a price change affects a company’s change in sales and profit. It is the measure of the magnitude by which consumers change the quantity of some product they purchase in response to a change in the price of that product. The more elastic demand is the more reactive consumers are to any change in the price...


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