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Explain why it is important to understand consumer behavior when establishing a business

Spring 2019 BUAD 222 – Individual Project:

Due Date: April 29, 2019

Project Instruction:

· Set up hypothetical Firm (Name, type of business etc. with business Logo on front page)

· Identify main goal/goals of your firm/business (4 dependent variable)

· Identify key variables influencing your business’ objective (5 independent variables)

· Outline projected correlations between your dependent and independent variables

· Identify potential extraneous variables if any that might impact your business

· Use deductive or induction reasoning to outline 5 advertising statements for your business

· Identify conditions that should prevail for your firm to at equilibrium in the market place; under what condition will your firm incur losses?

· What is the price elasticity of demand facing the services or products of your business? Using this information, explain the pricing strategy for your business.

· Explain why it is important to understand consumer behavior when establishing a business

 

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