How does the business market differ from the consumer market?
A) Participants in the consumer market are much better informed than those in the business market.
B) Demand in the consumer market is derived.
C) Demand in the consumer market is widely fluctuating.
D) Demand in the business market tends to be inelastic.
E) None of the above describe ways in which the business market differs from the consumer market.

Question

Quizplus · Accepted Answer

In the business market, demand tends to be inelastic because businesses often need specific products or services regardless of price changes, unlike consumer markets where demand can be more price-sensitive.

How Does the Business Market Differ from the Consumer Market