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Mice21 [21]
1 year ago
9

Why is the price elasticity of demand for coca-cola greater than the price elasaticity of deman for soft drinks generally?

Business
1 answer:
wolverine [178]1 year ago
7 0

A soft drink's price elasticity of demand is lower than Coca-Cola's, which is more sensitive to price. This is due to the ease with which consumers can switch from Coca-Cola to other comparable soft drink alternatives, such as Pepsi.

  • However, it would be challenging to replace soft drinks as a whole with alternative products. The price elasticity of demand for soft drinks, in general, is lower than the price elasticity of demand for Coca-Cola because there are no other close substitutes for them.
  • The quantity required of a thing or service changes in response to a change in the product's price, and this is measured by the price elasticity of demand. It is computed by subtracting the product's price change from the quantity demanded, divided by the product's price change.
  • Because the quantity of Coca-Cola products demanded frequently changes when prices vary, these products are thought to have an elastic demand.

Know more about coca-cola:

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Ben is exhausting his money income consuming products A and B in such quantities that MUa/Pa = 6 and MUb/Pb = 4. Ben should purc
yaroslaw [1]

Answer:

Option (a) is correct.

Explanation:

Given the marginal utility per dollar for the two products as follows:

\frac{MU_{a} }{P_{a} } =6

\frac{MU_{b} }{P_{b} } =4

All the individuals wants to maximize their utility that is obtained from the consumption of goods. We can see that marginal utility per dollar of product A is higher than the marginal utility per dollar of product B which means that this consumer should purchase more quantity of product A and less quantity of product B.

It is going on until the point at which marginal utility per dollar of both the products becomes equal.

6 0
3 years ago
Blue Apron delivers to your front door all the ingredients and instructions for preparing full meals for two or four people for
Vanyuwa [196]

Answer:

Place Mix

Explanation:

Blue Apron delivers to your front door all the ingredients and instructions for preparing full meals for two or four people for several occasions weekly. Delivery to your home would constitute place mix element of the marketing mix for Blue Apron.

Basically , Market mix have<em> four </em>elements they are -

1. <u>Product Mix </u>- It refers to all the decisions which are related to the product.

2.<u> Price Mix</u> - It refers to all the decisions which are related to the price of the product.

3.<u> Promotion Mix</u> - It refers to all the decisions which are related to the promotion or sale of the product.

4. <u>Place Mix</u> - It refers to all the decisions which are related to make the product deliver to the customer.

When the product is not deliver at the right time and at the right place to the customer ,then all other activities of the marketing mix will be of no use . <em>Place Mix is an important element of the Marketing Mix.</em>

Place Mix have two elements which have in distribution of the product they are -

   1. <u>Channels of distributions</u> - It includes the people and the firm .

   2. <u>Physical distributions</u> - It includes the transportation or warehouse.

   

8 0
3 years ago
A 1-year gold futures contract is selling for $1,645. Spot gold prices are $1,592 and the 1-year risk-free rate is 3%. The arbit
stealth61 [152]

The arbitrage profit implied by these prices is $5.24.

<h3>Arbitrage profit</h3>

Given:

Future contract= 1645

Sport gold price = 1592

Risk-free rate (rf) = .03

Hence:

Arbitrage profit=1645-[1592(1+1.03)¹]

Arbitrage profit=1645- 1639.76

Arbitrage profit=1645 =$5.24

Therefore the arbitrage profit implied by these prices is $5.24.

Learn more about  arbitrage profit here:brainly.com/question/15394730

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5 0
1 year ago
Best Construction, Inc., and General Real Estate Corporation form a joint venture. A joint venture is usually formed for
STALIN [3.7K]

Answer:

for mutual benefits

Explanation:

A joint venture is a business arrangement made between two parties that agree to come together and unite all of their resources in order to accomplish a specific common goal. Joint ventures are usually formed for mutual benefits, both companies involved benefit greatly from reaching the end-goal that they are working towards, but which neither company could do it without the other's resources.

6 0
3 years ago
How does unsafe food harm us<br>​
Flauer [41]

Answer:

Unsafe food creates a vicious cycle of disease and malnutrition, particularly affecting infants, young children, elderly and the sick. Foodborne diseases impede socioeconomic development by straining health care systems, and harming national economies, tourism and trade.

6 0
2 years ago
Read 2 more answers
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