1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
KatRina [158]
2 years ago
12

You work for a marketing firm that has just landed a contract with Run-of-the-Mills to help them promote three of their products

: penguin patties, raskels, and kipples. All of these products have been on the market for some time, but, to entice better sales, Run-of-the-Mills wants to try a new advertisement that will market two of the products that consumers will likely consume together.
As a former economics student, you know that complements are typically consumed together while substitutes can take the place of other goods.
Run-of-the-Mills provides your marketing firm with the following data: When the price of penguin patties increases by 5%, the quantity of raskels sold decreases by 4% and the quantity of kipples sold increases by 5%.
Your job is to use the cross-price elasticity between penguin patties and the other goods to determine which goods your marketing firm should advertise together.
1. Complete the first column of the following table by computing the cross-price elasticity between penguin patties and raskels, and then between penguin patties and kipples. In the second column, determine if penguin patties are a complement to or a substitute for each of the goods listed. Finally, complete the final column by indicating which good you should recommend marketing with penguin patties.
Relative to Penguin Patties
Cross-Price Elasticity of Demand Complement or Substitute Recommend Marketing with Penguin Patties (Yes or No)
Raskels
Kipples
Business
1 answer:
Semmy [17]2 years ago
8 0

Answer;

Raskels = 0.8 Substitute

Kipples = -1 Complement

Explanation:

Cross-price

elasticity of demand , Complement

Raskels (-4%)/(-5%) = 0.8 Substitute

Kipples (5%)/(-5%) = -1 Complement

Recommended

Raskels No

Ripples Yes

Cross price elasticity = Percentage change in quantity demanded of a good/Percentage change in price of another good.

If it is positive, then it means that the good is a substitute and should not be advertised together.

And If it is complement, then the good is a complement and should be advertised together.

You might be interested in
Relevant information is information you can’t trust true or false
Damm [24]

Relevant information is information you can’t trust-This statement is False because Relevant means that is something that makes sense or is important -So the statement holds False

Explanation:

Relevant information is the information that an individual require to perform a given task.

For example in order to write a program the person needs all the relevant information related to  the program that is to written like the value of the variable,the format of the output required.

The term Relevant means "of Importance"

If a information required is very important then it can be obtained only through proper research work and hence it can be trusted

so we can say that-the statement that  relevant information is information you can’t trust-is False

5 0
3 years ago
India’s low-cost labor market and abundant supply of talented engineers gives it a(n) _________ in the international trade marke
zheka24 [161]

Answer:

economic barrier is correct answer

6 0
2 years ago
What is the purpose of an inspection report ​
Reptile [31]
<h2>Answer:</h2><h3>The purpose of inspection reports is to document the inspection scope, observation, and findings</h3><h3>of inspections conducted by the NRC. </h3>

<h2>Explanation:</h2><h3>The NRC performs inspections to oversee the commercial nuclear industry to determine </h3><h3>whether its requirements are being met by licensees and their contractors.</h3>
5 0
2 years ago
The model of technological choice presented in unit 2 of the economy suggests that the main reason the industrial revolution fir
Westkost [7]

the main reason the industrial revolution first occurred in Britain was that in Britain the price of coal was low relative to labor. Thus, making everyone want to own and make products using the steam engine which ultimately created the first industrial revolution.

The Industrial Revolution, which took place between roughly 1760 and between 1820 and 1840, was the adoption of new manufacturing techniques in Great Britain, continental Europe, and the United States. This transition encompassed the switch from manual to mechanical production methods, the invention of new ways of producing chemicals and the iron, the expansion of steam and water power, the creation of machine tools, and the growth of the mechanized factory system.

#SPJ4

6 0
1 year ago
The typical soft drink can in the U.S. has a volume of 355 cm3. The two circular ends cost $0.0008 per cm2 each (because they ar
stepladder [879]

Answer:3cm radio for each circular end. 12.56cm height.

Explanation:

Those dimensions cost is 0.01261usd per can.

Lower radio or higher radio make can more expensive.

7 0
3 years ago
Other questions:
  • Suppose a foreign investor who holds tax-exempt Eurobonds paying 10.50% is considering investing in an equivalent-risk domestic
    5·1 answer
  • Leiff goes online to buy a new video game. He finds a site that currently has a promotion of 15% off on all orders over $50. Lei
    5·1 answer
  • Identify the careers that require a college degree
    6·1 answer
  • People live for four periods. They can choose to work for all four periods, or can attend school in the first period and then wo
    11·1 answer
  • A woman plans to work for 25 years and to make deposits into a retirement fund at the amount of 100 at the end of each month. Th
    13·1 answer
  • How does specialization affect an economy more efficient?
    14·1 answer
  • 2. An employee has filed a discrimination lawsuit, because although fully qualified, he was not hired for a
    8·1 answer
  • A company is considered a price setter when: ____________
    15·2 answers
  • Đặc điểm sản phẩm tác động tới việc lựa chọn phương thức thâm nhập thị trường thế giới của
    5·2 answers
  • 45,000 worth of goods were invoiced by A. Bose of Kolkata to C. Dutta of Chandigarh at
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!