Buyers in the market for iPhones learn that the price of the Samsung Galaxy has increased. Explain how this would shift demand in the market for iPhones.

iPhones and Samsung phones can be considered close substitutes, i.e. if the price of one increases, consumers may wish to switch to the cheaper alternative. This means the demand for the substitute will rise. In this particular case, as the price for Samsung phones increases, the demand curve for iPhones is likely to shift outwards/to the right.

TK
Answered by Tamara K. Economics tutor

3216 Views

See similar Economics A Level tutors

Related Economics A Level answers

All answers ▸

Explain how price and output are determined for a firm in a monopolistically competitive market, in both the short run and the long run


Explain price elasticity of demand


What is the difference between short-run and long-run economic growth?


Explain the statement that oligopolistic markets such as supermarkets or car manufacturers can be defined in terms of market structure or market conduct.


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2026 by IXL Learning