3 Nov 2022


Apple's Income Elasticity and Price Demand

Format: APA

Academic level: University

Paper type: Coursework

Words: 267

Pages: 1

Downloads: 0

Apple is one of the biggest companies in the world specialised in producing Apple's product. One of the products that the company has majorly focused on is producing iPhone mobile phones. According to the reports, iPhones are the best products in the market as demand increases with supply. In the recent years, the company has majored into manufacturing other products which have increased its economic growth. Apple’s products are luxuries since they are more expensive compared to other phones in the market. As such, they can only be affordable to people with high-income. 

IPhones are elastic product since that they are luxuries and not necessities. People can do without them, and the increase in prices could lead to customers opting for substitute products. In business, elastic goods and services are those necessities in which people cannot live without them. Based on the reports, Apple's product majorly targets a certain segment of the people. As such, the majority have opted for other products which are much cheaper compared to their products. However, that doesn't indicate that the demand for their products has reduced over the years. In fact, more people are willing to pay that extra price for them to own Apple's products. In that case, the price demand of the iPhone is considered to be elastics as demands changes with the increase of price. 

It’s time to jumpstart your paper!

Delegate your assignment to our experts and they will do the rest.

Get custom essay

The income elasticity of the product is greater than 1 since the increase of prices does not affect the demand for the products. Since its establishment, iPhone is known to be much expensive, and yet the demand on the market has significantly increased over those years. 

Based on the products history, iPhones are considered to be normal since they have remained relevant in the market all those years. In fact, they are the majorcompetitors in the market regarding mobile phones. 

Cite this page

Select style:


StudyBounty. (2023, September 14). Apple's Income Elasticity and Price Demand.


Related essays

We post free essay examples for college on a regular basis. Stay in the know!

How AI Can Help Retailers Solve Business Problems

The global marketplace is currently more integrated than ever before. This situation presents a never-before experienced opportunity for retailers. Multinational organizations whose sole basis is the internet have...

Words: 2700

Pages: 5

Views: 138

The Natural Organizational Model and the Informal Groups

The nature of an organization is based on different factors such as the environment it is set up in. also, the type of activity it undertakes. This paper will examine the natural organizational model, the informal...

Words: 3009

Pages: 10

Views: 239

Why Pinkberry should focus on making orange and yellow the two prevailing colours

The fact that Pinkberry has evolved from a storefront to a nationally recognized brand makes this franchise of frozen dessert yogurt shops an example to be followed. Yes, the personality of a brand created a platform...

Words: 582

Pages: 2

Views: 93

Ford Motors: Board Presentation For Electric and Hybrid cars Production

Executive Summary The motor vehicle industry in America and worldwide is highly competitive with major players no longer enjoying the dominance that they had had before. Innovation and identification of trends...

Words: 1088

Pages: 4

Views: 130

Home Remodel Project Plan

Project Overview Home remodeling is one of the notable key projects undertake through project management, as a project manager is expected to come up with a clear plan that would help in meeting the expected...

Words: 2152

Pages: 8

Views: 69

How Airbnb Achieved Success

Hospitality industry includes firms that provide lodging and dining services for customers. Many of the businesses in the travel and hospitality industry offer customers with prepared meals, accommodation, snacks,...

Words: 906

Pages: 3

Views: 63


Running out of time?

Entrust your assignment to proficient writers and receive TOP-quality paper before the deadline is over.