In Mauritius an online sport shop wants to increase its total revenue. One strategy is to offer a 10% discount on every sport item it sells. The sportseller knows that its customers can be divided into 2 distinct groups according to their likely responses to the discount. (a) How would a sound knowledge of the concept of price elasticity of demand help the online sportseller in its pricing decisions? [8 Marks] (b) What according to you would determine the price elasticity of demand for his product? [6 Marks] (c) How do you think an understanding of the concepts of cross elasticity of demand and income elasticity of demand could also be of importance to the online sportwear shop