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Assume that you are the sales manager for GM or Ford cars.

Assume that you are the sales manager for GM or Ford cars. How would you make the demand for GM and Ford cars shift to the right (demand increase) and inelastic so that more buyers purchase them? Explain in detail.

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When demand shifts outward, the company will sell more vehicles at a higher price. Inelastic demand would cause a smaller change in quantity demanded for a proportionate change in price. So, the more inelastic the demand, the greater revenue will increase when price increases.

To cause demand to shift to the right, the company needs to make it ...

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