examples for how could a business could benefit from estimating its demand elasticities?
- Anonymous8 years agoFavorite Answer
The more inelastic the demand the less likely it will be affected by an increase in price. So, if a business estimates that their product has an inelastic demand they can charge more. If it is elastic, they need to be more sensitive to the price that they are charging.
- Anonymous8 years ago
If the demand is inelastic,it can increase price, not reduce it.