3 ms·
The assumption in the modelling is that sales will decline proportional to the price increase. IOW, they'll sell 2/3 as many shoes at 150% of the price. Prob
by bryanlarsen 2y ago
The assumption in the modelling is that sales will decline proportional to the price increase. IOW, they'll sell 2/3 as many shoes at 150% of the price.
Probably not a great model, but it's simple and a reasonable guess. Remember all the competitors will have price increases too.