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Chapters 18 & 19 Study Questions.docx Chapter 18 & 19 Study Questions: 1. Â Â Â Descr

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Chapters 18 & 19 Study Questions.docx Chapter 18 & 19 Study Questions: 1. Â Â Â Describe the terms supply and demand? Explain how these terms play an important in determining pricing by marketers? Supply- amount of ...

Chapters 18 & 19 Study Questions.docx Chapter 18 & 19 Study Questions: 1. Â Â Â Describe the terms supply and demand? Explain how these terms play an important in determining pricing by marketers? Supply- amount of products that will be offered for sale at different prices in a specified period. Market structures can also impact supply schedules. Demand- amount of products that consumers and businesses that will be purchased at different prices in a specific periodÂ 2. Â Â Â Define the term elasticity? Describe how it works using an example. Elasticity is how change in pricing affects supply and demand for products.Â High demand but low supply= good profit potential High supply but low demand= poor profit potential 3. Â Â Â What are the four types of market structures? How does each market structure impact the pricing decisions related to different industries in the U.S.? Monopoly- only one seller of a product exists for which there are no close substitutes; having great control over price and often regulated by government. Oligopoly- relatively few sellers so each seller has a strong influence on the price but no single seller controls it. Competitive (monopolistic)- many sellers and buyers exchanging heterogeneous goods so marketers have some control over price. Competition (pure)- many sellers and buyers exchanging relatively homogenous goods so a single marketer cannot control price significantly. Â Â Â Characteristics Â Â Competition Â Â Â Â Oligopoly Â Â Â Â Monopoly . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . .. .. . . . . . . . . . . . . . . . . . .. . . . .

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