You have to understand that the prices change for other reasons as well over time (inflation etc). And if they could just keep raising prices (above inflation pace) by $0.15 without a drop in demand, they should be doing so all the time.
But companies can't make these changes without consequences.
If the % drop in demand is higher than the % chance in prices, the company will lose money. Which means, they shouldn't have raised the prices.Originally Posted by Orissa
They pretty much have to have educated folks on the team to do it. Billion dollar market cap companies use derivatives and other financial instruments in their day to day operations, you must understand basic economics to be able to use them. Even if the CEO doesn't, folks he has hired will.Originally Posted by Laize