Saturday, September 22, 2018

FIVE ECONOMIC CONCEPTS

NIKE: Nike is the one of the most popular sport brand in the world it produces shoes, clothing, sports clothing, etc……..
People respond to incentives: On some particular days the nike brand will announce some extra offers. like festival offers, big day sales on e-commerce etc….. so during these days people think rationally and the will respond to incentives.
Price discriminationThe price will vary from country to country .compared to the other countries the prices in india is little bit more .beacause of the price discrimination 
Consumer surplus: It is difference between consumer willing to pay and actual price the difference is consumer surplus .suppose nike price is 400 and offer price 300 therefore the difference of 100 is know as consumer surplus
Demand: The demand of a nike products will increases when there is an offer. The purchasing power of an consumer will increase when there is an special offers therefore the demand of a products will increases 
Trade off: people face trade off when they are using similar products .so in order to not face an trade off the nike should comeup with an different proucts which will vary to others 

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