Marketing MKT 4337 Lecture Notes - Lecture 8: Determinant
6 Dec 2020
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Each value the organization may charge will prompt an alternate degree of interest. The relationship between the cost charged and the subsequent interest level is appeared in the interest bend in figure. The interest bend shows the quantity of units the market will purchase in a given time span at various costs that may be charged. In the ordinary case, request and cost are conversely related; that is, the higher the value, the lower the interest. In this way, the organization would sell less in the event that it raised its cost from p1 to p2. To put it plainly, customers with restricted spending plans presumably will purchase less of something in the event that its cost is excessively high. On account of distinction merchandise, the request bend some of the time inclines upward. Customers feel that more exorbitant costs mean greater quality. Most organizations attempt to gauge them request bends by assessing request at various costs.
