Why Is Price Elasticity of Demand Important?

Answer

Price elasticity of demand is important because it determines how much the price of a product can change before the demand fluctuates. If the price goes down, demand increases and in case the price goes up, demand decrease. Price elasticity demand helps companies maximise their profit and decide whether a particular market can be profitable.
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The concept of Price Elasticity of Demand helps companies maximise their profit and decide whether a particular market can be profitable. If a company's product has a high elasticity
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