Assignment PreviewPrice and Quantity adjustments for Australian Tourism and Hospitality
This report sets out a detailed analysis of demand and supply curves as well as interaction of both curves in the Australian tourism and hospitality products market. The concepts of demand and supply are applied to understand and analyse three different cases and their impact on the demand and supply curves in part one of the report. In those three scenarios an analysis has been conducted as to the shifts of demand and supply curves, whichever is applicable as well as the movements along the curves. The scenarios are analysed using four step approach namely, (A) identifying which curve will be affected, (B) analysing how the curve will be affected, (C) elaborating in which direction the curve will move and (D) analysing the impact on both the price and quantity exchanged. Part one set out and discusses all the scenarios using graphs and tables to elaborate them effectively.
Whereas part two mainly discusses the concept of the price elasticity of demand and various factors affecting it. In part two a detailed discussion regarding the price elasticity of demand is set out. Different measures of elasticity are highlighted and explained with the help of relevant examples.