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The decision Apple made to price the iPhone 5c at $99 on contract price, is seen as the right move due to price elasticity. Although there is expected increase in demand due to the seasonal change of the holiday, Apple decided to take lower margins and hoped for unit volumes to offset as they believed there would have been "no guarantee of price elasticity driving volumes." Off this we can interpret that the price elasticity for the Apple iPhone 5c will be over 1, as they hope that the decrease in price will lead to a greater increase in the demand for the product. They saw the release of the iPhone 5c as having no guarantees as to whether the price elasticity of the product would help generate a greater quantity of sales.

Hi Ronald Appropriate analysis of the article with respect to PED.

Copyright holders of newer books exploiting the possibilities price elasticity by finding a new market for the same book by after a period of time offering it a much lower price is an interesting idea. By doing this copyright holders are negating the affect of the PED determinant of books not being a necessity by constantly establishing new markets without paying any more for a new title. However demand for books is still likely to be elastic because of some of the other PED determinants. It is interesting to note that a trusted publisher such as Oxford University Press has been exploiting price elasticity for decades along with many other publishers who would reissue modular and revised editions of books in order to make a profit.

Appropriate article and well done on highlighting the key concepts

An article that questions price elasticity and has some great points about how this effects the market

The decision to keep the price hight than the competition was a bold move by Microsoft. It may have paid off but they were not to know that it would generate more profits relying solely on the loyalty of their customers to better the PS4. Microsoft originally set their price lower than the competition (xbox 360 cheaper than PS3) in this we can assume that they wanted increased demand for the product (get the product out in the market place) now that they have achieved this they have raised the price above the competition in the hopes of consumer choice allowing them to trump the opponents.

Hi Josiah. Good review on your article

iPhone has been always on the high-end price smartphones in the market. They never change their selling price over the past years, even now. Even though their products are expensive, people are still willing to buy and they have a steady customer base. The sales team were concerned about the high-end market, however, their executive doesn't agree because Apple has solid market share and always be the best selling smartphone almost every month. Even though they have space to adjust their price, I believe Apple will maintain at the same price range and provide valuable goods.

Hi Matthew. Appropriate article and highlighted key points