Question about elastic and inelastic demands?
Can businesses create inelastic demands for their products? What about elastic? I'm having trouble finding out what the difference between the two is3 months ago - 1 answers
Gasoline and electricity are examples of inelastic demand. People can only cut back so much regardless of conditions.
I Phones a an example of elastic demand. People can decide they just don't need the latest greatest for any number of reasons such as the one they have works fine or Samsung is a lot cheaper,
Elastic demand is created all the time through advertising or product placement leading to impulse purchases. Think grocery stores for that one.
Inelastic demand can not really be created. The supply can be held back but that is not the same thing. Food has an inelastic demand en toto but no particular food has it.