Alex McLean is preparing for the annual retreat of the company's management group in the unusual industry of urban beekeeping. A little more than sixty percent of revenue comes from selling to and providing support of active beehives for individuals, businesses, and other groups in urban communities. Another twenty percent of revenue comes from the sale of honey in retail markets, and Alex would like to improve those processes to generate additional profit from that source. Please recognize the data you are given to analyze in this question is only applicable to MEQA.

1. From an economic perspective, what three principles would you recommend to Alex for increasing the effectiveness of retail sales to increase the profitability of the company
2. How can a more sophisticated understanding of the elasticity of demand for retail honey sales support the company's managers' efforts to improve profitability in that sector of the company's operations?