External Factors: Elasticity of Demand
Marketers should never rest on their marketing decisions. They must continually use market research and their own judgment to determine whether marketing decisions need to be adjusted.
Elasticity of Demand - a measure of the degree to which any change in the price of a product will affect the demand for it.
Price Elasticity of Demand Relates to the sensitivity of customers to price changes in terms of the quantities they will buy.
cross elasticity of demand
a measure of the affect a change in the price of one product will have on the demand for a substitute or complementary product
cross selling ...
Price elasticity of demand: the responsiveness of demand to changes in prices.
Price elasticity of demand
Price elasticity of demand measures the responsiveness of a change in demand for a product following a change in its own price
Price sensitivity ...
Inelasticity of Demand demand which is not greatly affected by a change in the price of the product. See Elasticity of Demand.
Cross-Elasticity: The cross elasticity of demand or cross price elasticity of demand measures the change in the number of units of one product demanded in response to a price change of a second product.
Demand Inelasticity - see Inelasticity of Demand.
Demand-Backward Pricing - a method of pricing in which prices are set by determining what consumers are willing to pay; then, costs are deducted to see if the profit margin is adequate.
 See also: Product, Strategy, Demand, Customer, Price
  
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