A brand switching matrix for five brands in a Fast-Moving Consumer Goods (FMCG) category is show below for Weeks 1 and 2. Of the five brands, Brand C decreased its price by 1% from Week 1 to 2 whereas all the other brands kept their prices the same across the two weeks. Week 2 Purchase Brands A B E A 399 190 90 52 80 195 199 55 47 31 Week 1 75 54 187 22 9 Purchase 54 44 23 110 22 E 82 26 12 27 65 (а) What is Brand C's self-price elasticity of demand? Show work. (b) ( What is Brand E's market share in Week 2? Show work.

A brand switching matrix for five brands in a Fast-Moving Consumer Goods (FMCG) category is show below for Weeks 1 and 2. Of the five brands, Brand C decreased its price by 1% from Week 1 to 2 whereas all the other brands kept their prices the same across the two weeks. Week 2 Purchase Brands A B E A 399 190 90 52 80 195 199 55 47 31 Week 1 75 54 187 22 9 Purchase 54 44 23 110 22 E 82 26 12 27 65 (а) What is Brand C's self-price elasticity of demand? Show work. (b) ( What is Brand E's market share in Week 2? Show work.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter23: Managing Vertical Relationships

Section: Chapter Questions

Problem 1MC

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