YED and How business can adapt

?
View mindmap
  • YED and Next step for Biz
    • Elastic Product
      • YED is over 1
      • Usually Luxuary product
        • Biz can market on quality
        • UK Economy has slower growth rates of 2%-3%
          • Biz can export goods into overseas markets and profit from emerging economies (Growth is over 7%-8%)
    • Inelastic Product
      • YED is between greater than 0 but less than 1
      • Goods that can be standard quality or high quality
        • When incomes increase, there may be a slight increase in demand
      • Biz can adapt to the economic environment on national pay to adjust marketing accordingly
    • Inferrior Good
      • YED is below 0
      • Biz can focus on branding product as low cost
        • Is it price elastic? Biz can profit from marketing low cost
      • Less Demand when incomes rise
        • External shocks to the economy (COVID) Increasing amount of consimers on gov funding (UC)

Comments

No comments have yet been made

Similar Business Studies resources:

See all Business Studies resources »See all Business Plans resources »