a. Find the price when the demand is 0 watches. The price when the demand is 0 watches is \( \$ 24 \).
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The Deep Dive
When the demand for watches hits zero, it usually means that either the price is too high for consumers to buy or there's a shift in preferences away from watches entirely. In this case, a price of $24 may indicate that consumers don’t perceive the value in the product at that price point. Interestingly, this is common in luxury items where the perceived value diminishes when the price exceeds buyer willingness. Conversely, when dealing with a scenario like this, it’s crucial to assess market trends and consumer preferences. Perhaps consider conducting surveys or focus groups to gauge what potential buyers are willing to pay. This can help in adjusting pricing strategies or even redesigning the product to better meet consumer desires!