Question
Due to Covid-19, there is a high demand in buying masks sold by company A. But company A couldn't keep up with their orders so
Due to Covid-19, there is a high demand in buying masks sold by company A. But company A couldn't keep up with their orders so the customers have to wait for such a long time. Some of them even cancelled their purchase and they left negative comments on the social media and turned to company A's competitors.
Question 1: What is the effect of increasing demand due to covid on the demand curve, market price and quantity?
Question 2: What is the effect of customers complaining on social media and cancelling their orders on the demand curve, market price and quantity?
Question 3: What are the two demand determinants identified in Question 1 and 2; and what is the ultimate effect on price, quantity and demand curve
Question 4: In the long run, the price of elasticity of demand of Company A's mask will be higher or lower? Why
The question is complete so please answer to the best of your knowledge
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