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If say Budweiser increased their price by say 10c a can their overall profit would decrease even if their profit margin would increase. -------- That's not ne
by lurquer 7y ago
If say Budweiser increased their price by say 10c a can their overall profit would decrease even if their profit margin would increase.
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That's not neccesarily the case. The ideal price point for maximum profits is ever-changing.
Would Budseiser's profits increase if they lowered the price by $0.10?
The answer is the same: it depends.
- Retric 7y agoWhile I don’t disagree with your point, I am going to assume a company like Budweiser is going to be very good at selecting a nearly optimal price.