Price Elasticity Analysis

Analyze price sensitivity and optimize pricing for maximum win rates

Understanding Price Elasticity

Elasticity measures how demand responds to price changes. A value of -1.5 means a 10% price increase leads to a 15% decrease in demand.

|E| < 1
Inelastic (pricing power)
|E| = 1
Unit elastic
|E| > 1
Elastic (price sensitive)