How higher prices discourage buyers?
Best insight from top research papers
Higher prices discourage buyers because they tend to limit the potential market for a product and discourage a large portion of the market from purchasing it . Research has shown that higher alcohol prices contribute to lower alcohol consumption by youth . Additionally, price increases can lead to negative attitudes and perceptions among buyers, as they often impact purchasing personnel and create unfavorable material variances . Furthermore, higher prices can deter lower-class consumers from purchasing products with social costs, as they do not feel entitled to justify the purchase . Price sensitivity among smokers also leads to price avoidance strategies, such as purchasing from low or untaxed venues, smoking discount/generic cigarette brands, and using coupons more frequently . These strategies are adopted by smokers to seek out less expensive cigarettes, which can decrease future cessation efforts .
Answers from top 4 papers
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| Papers (4) | Insight |
|---|---|
| The provided paper does not discuss how higher prices discourage buyers. | |
10 Citations | The paper states that higher alcohol prices contribute to lower alcohol consumption by youth, as well as a decrease in related problems such as driving while intoxicated. The survey data suggest that a price of around $7.50 for a six-pack of beer or a four-pack of wine coolers would discourage purchases by youth. |
| The paper does not directly explain how higher prices discourage buyers. The paper discusses the challenges faced by buyers due to price increases and the options available to them. However, it does not provide specific information on how higher prices discourage buyers. | |
| A high price tends to discourage buyers because it limits the potential market for a product, according to the paper. |
Related Questions
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How does price affect the buying behavior of consumers?5 answersPrice has a significant impact on consumer buying behavior. Consumers often perceive price as an indicator of product quality, and higher prices may lead to decreased demand while lower prices may increase demand. The relationship between price and consumer behavior is complex and can be influenced by factors such as income level and the perceived value of the product. Additionally, promotional strategies can also affect consumer behavior, as effective promotions can increase consumer awareness and stimulate interest in products. It is important for businesses to carefully consider pricing strategies and allocate resources towards effective promotions in order to influence consumer buying behavior.
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