Term
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Definition
| enables managers to examine the relationships among cost, price, revenue, and profit over different levels of production and sales |
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Definition
| the percentage change in the quantity of product A demanded compared with the percentage change in price in product B |
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Term
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Definition
| costs that remain essentially at the same level, regardless of any changes in the volume of production |
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Term
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Definition
| the change in the quantity of a product demanded by consumers due to a change in their income |
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Term
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Definition
| refers to consumers' ability to substitute other products for the focal brand |
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Term
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Definition
| implemented by firms to meet a targeted profit objective. The firms use price to stimulate a certain level of sales at a certain profit per unit |
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Term
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Definition
| occurs when firms employ pricing strategies designed to produce a specific return on their investment, usually expressed as a percentage of sales. |
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Term
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Definition
| Variable costs + Fixed costs |
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Term
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Definition
| the costs that vary with production value |
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