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Topic: |
Business
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Number of pages / Number of words: |
8 / 2135 |
Essay's paper body
Macy's sales for 2003 were broken down into the following categories:
I would consider the products at Macy's to have a large negative price elasticity of demand and a large positive cross-price elasticity of demand because there are many alternatives and good substitutes, following monopolistic competition...
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If I was speaking of some of the extremely high-end clothing brands at Bloomingdale's, such as Dolce & Gabbana or Vera Wang, I might agree that the price elasticity of demand was relatively low because of brand loyalty to the most contemporary designers. These consumers are willing to pay the extra money, even to excessive amounts, to be seen in the trendiest and most expensive lines...
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