Advertisers try to make consumers feel more connected to their product so that the consumers perceive there to be fewer substitutes for the product. Ideally (from the advertiser's perspective)this will ____________ the price elasticity of demand for the product to the point where demand is ____________ resulting ultimately in higher profits.
A) lower; inelastic
B) lower; elastic
C) raise; inelastic
D) raise; elastic

Question

Quizplus · Accepted Answer

Advertisers aim to lower the price elasticity of demand, making it inelastic, so consumers are less sensitive to price changes, allowing for higher prices and increased profits.

Advertisers Try to Make Consumers Feel More Connected to Their