Quantity demanded: The amount of a good buyers are willing and able to buy at a given price

Demand: The amount of a good buyers are willing and able to buy at different prices (Demand Schedule) Suppose that a local pizza place likes to run a late night special. The owners have contacted you for some advice, and tells you, "We want to increase the demand for our pizza", and she proposes two marketing ideas.

1. Reduce the price of large pizzas or

2. Reduce the price of a complementary good - for example offer two half priced bottles of a frizzy drink with every large pizza ordered

Which strategy will you recommend?

HOMEWORK Quantity demanded: The amount of a good buyers are willing and able to buy at a give price Demand: The amount of a good buyers are willing and able to buy at different prices (Demand Schedule) Suppose that a local pizza place likes to run a late night special. The owners have contacted you for some advice, and tells you, "We want to increase the demand for our pizza", and she proposes two marketing ideas. 1. Reduce the price of large pizzas or 2 Reduce the price of a complementary good - for example offer two half priced