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Will Bery

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Submitted By humbertilio
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Will Bury Goes Global
Will Bury’s Price Elasticity Scenarios
Economics
University of Phoenix
The results of Will Bury’s investigations into the effect of price-changes on the demand, for unique online products, revealed that an increase in price translated to a large increase in demand. This suggests that products targeted at a niche-market face a price inelastic demand curve; a small change in price results in a high increase in demand.
The reverse is true when there is a fall in the price of a product; a price fall leads to a reduction in demand. Bury can increase his income by raising the price of digital books and targeting the affluent sections of society in his advertising campaigns. I
In a monopolistic market, a monopolist can restrict supply so as to create a temporary shortage and thus push up the prices of commodities. By closely controlling his innovation, Bury can continue to reap high profits by selling digital book with a realistic synthetic voice.
The amount of revenue generated will be dependant on the elasticity of demand as depicted by the demand arc created by the intersection of quantity demanded at different prices. At any two points along the curve, a higher price will intersect the demand arc at a higher quantity demanded.
Conversely, a lower price will relate to lower quantities demanded. This situation shall prevail as long as Bury can monopolize the use of his invention and lock out the competition from encroaching into his market. The elasticity of demand calculated using this method will be greater than one as a small change in price will affects total expenditure by consumers.
The elasticity of demand in this scenario is relatively inelastic because of the uniqueness of the product offered and consumer behavior of the targeted market. Affluent people prefer highly priced good believing them to be of a better quality

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