Why do prices increase when demand for a product is high?
Companies know they can make more money by selling more products at higher prices.
Companies know that people will be willing to spend more to get an in-demand product.
Companies take advantage of the demand to make people spend more money on excess products.
Companies know they can stop production and still make money on sales.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Why do prices increase when demand for a product is high? Companies know they can make more money by selling more products at higher ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Kimberly Ortiz strongly believes in working for a company that promotes diversity. She believes that such organizations are respectful of differences and allow employees more exposure.
Answers (1)
Serges is the owner of a retail meat marketing business. Without authority his managing agent borrowed $3,500 from David, on Serges's behalf, for use in Serges's business.
Answers (1)
What courses should high school students take if they are interested in radiology?
Answers (1)
Customers have certain expectations about how a service should be delivered. a service gap occurs when the delivery of a service fails to meet customer expectations.
Answers (1)
Gwen recently purchased a new video card, and after she installed it, she realized she did not have the correct connections and was not able to power the video card. What connectors should Gwen look for when purchasing a new power supply?
Answers (1)
New Questions in Business
Given a normal market demand curve for unleaded gasoline, if the price of shipping a gallon of gasoline rises from $.50 per gallon to $.75 per gallon, then there is a/an a. increase in demand for unleaded gasoline. b.
Answers (1)
The WTO authorized several countries to impose about $150 million in trade sanctions against the United States in retaliation for a U. S. import law that the WTO ruled to be illegal.
Answers (1)
What is the difference between foreign investment and foreign direct investment?
Answers (2)
Marriages primarily symbolize the formation of a legal union. as a secondary function, they provide a hands-off message to past lovers. the secondary function is referred to as
Answers (1)
Accompanying a bank statement for Borden Company is a credit memo for $21,200 representing the principal ($20,000) and interest ($1,200) on a note that had been collected by the bank.
Answers (2)