Question

Demand for many products is seasonal and can be impacted by weather, trends, financial markets, all while typically having an elastic demand. How can companies plan for this and what tactics do companies use to smooth the highs and lows of the demand structure?

Answer 1

Answer:

Firms in a competitive market must take the price as given. ... The individual supply curve shows how much output a firm in a perfectly competitive market will supply at any given price. Provided that a firm is producing output, the supply curve is the same as marginal cost curve.