Question

a. Find the price when the demand is 0 watches. The price when the demand is 0 watches is \( \$ 24 \).

Ask by Reeves John. in the United States
Feb 18,2025

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Tutor-Verified Answer

Answer

When there are 0 watches demanded, the price is \$24.

Solution

The information provided states that when the demand for watches is 0, the price is \( \$ 24 \). This means that the price at which no watches are being sold (i.e., the maximum price) is \( \$ 24 \). If you need further analysis or calculations related to demand and price, please provide additional details or context!

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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!

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