Some sales managers are talking about business. Which quotation refers to a rightward shift of the demand curve?
A) "Since our competitors raised their prices, our sales have tripled."
B) "Because it's been such a warm winter, our sales of wool scarves are down from last year."
C) "We decided to cut our prices, and there has been a big increase in our sales."
D) "The Green movement has hurt sales of our non-recyclable products."
E) None of the above

Question

Quizplus · Accepted Answer

A rightward shift in the demand curve indicates an increase in demand at the same price levels. Choice A suggests that due to competitors raising their prices, the company's sales have increased significantly, implying that consumers have shifted their demand to this company's products, representing a rightward shift in the demand curve for its products.

Some Sales Managers Are Talking About Business