Question About Law of Demand?

🕵🏻‍♂️ 探討台經濟學

Bryan

2010-01-12 2:49 am

Suppose there are 2 shops. But there are more purchasers at shop B as they think the quality of goods there is better than A. Can this phenomenon be explained under the law of demand?

更新1:

Perhaps shop A has a few good-quality products, but maybe the price is higher.

更新2:

Will the cost be higher using the goods with lower quality?

回答 (2)

[匿名]

2010-01-12 4:13 am

✔ 最佳答案

It can be explained by the law of demand. But the law of market structure and competition should be explained first.. B has a market power and it is in a monopolistic competitive market. A should do the same by using marketing strategies such as advertisement. If A and B produce a subtitute product, a price reduction by A should lure some clients from B.

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[匿名]

2010-01-12 3:57 am

It all depends on what is being bought. If the widgets being purchased are the same, and the price is the same, then its just the luck of the draw...

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