If the revenue dropped 10 percent, the product has unitary elasticity, meaning demand drops by the same percentage as the price increases. However, if demand does not fall when you raise the price ...

The company further determined from the total revenue test that consumers responded favorably to the discounting of Cobra pants. Cobra produced $40,200 in monthly revenue, versus $35,000 previously.

It's human nature. If the price of a product goes up, consumers buy less of it. If the price goes down, consumers buy more. In economic terms, that's called price elasticity. But what if the price ...