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Profit
how a business can improve it’s profitability
Increase quantity sold
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Created by
chet singh
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Cards (3)
How can increase in quantity sold lead to profitability ?
It will lead to
higher
sales if
selling
price is not
lowered
and may
result
in
higher
market
share
What will increasing quantity sold depend on
Elasticity
of demand and if
the busi
ness has
capacity
to s
ell
more
Why might increasing the quantity of sold not work
Competitors
are likely to
respond
fixed
costs
might actually
rise
- e.g -
higher
marketing