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  • Jaguar Land Rover plc Bond Valuation

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    Elasticity refers to the extent to which price changes affect consumer behavior and ultimately affects sales and demand for a product or service. In the case of food consumption, elasticity describes how much a unit change in price affects the total quantity consumed in a specific segment of society. In India, elasticity is a key factor for deciding the optimal product pricing strategy for grocery shops. India’s food consumption patterns and dietary habits have changed significantly over the past few years. Consumption of food products in the country has sur

    Evaluation of Alternatives

    Elasticities of demand for food in India are relatively low, which is contrary to the prevailing assumption that food is a commodity and that prices do not change significantly as consumption increases. In fact, the consumer’s willingness to pay varies inversely with the food’s relative affordability, which suggests that there is a trade-off between quantity demanded and quality supplied, leading to an overall reduction in the level of food consumption. The following are some examples that support the relevance of elasticities of demand in understanding the consumption behavior of the