Managerial Economics, 8e

William F. Samuelson ● Stephen G. Marks

Demand Analysis and Optimal Pricing

 There’s no brand loyalty so strong that
the offer of “penny off” can’t overcome
it.

~A Marketing Aphorism

Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Airline Ticket Pricing

Anyone who has traveled via commercial airline, even on

an infrequent basis, knows there is a bewildering plethora
of fares for the same route.

Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
The Demand Function

The Demand Curve and Shifting Demand

General Determinants of Demand

Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Price Elasticity

Factors Affecting Price Elasticity

Other Elasticities

Cross-Price Elasticities

Price Elasticity and Prediction

Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Price Elasticity, Revenue, and
Marginal Revenue

Maximizing Revenue

Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Optimal Markup Pricing

Business Behavior—Pricing in Practice

Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Price Discrimination
Multinational Production and Pricing Revisited
Demand-Based Pricing
Forms of Price Discrimination
Information Goods

Customized Pricing and Products

The Economics of Groupon

Airline Ticket Pricing Revisited

Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Consumer Preferences and Demand

The Consumer’s Problem

Indifference Curves

The Budget Constraint

Optimal Consumption

Demand Curves

Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.
Copyright © 2015 John Wiley & Sons, Inc. All rights reserved.