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

3135 Views

See similar Economics A Level tutors

Related Economics A Level answers

All answers ▸

In February 2013, the proposed takeover by Barr of Britvic was referred to the Competition Commission for investigation. There were likely to have been concerns that the takeover would lead to...


Is price capping an effective way to deal with monopolistic power?


Explain the impacts of a fall in interest rates on the rate of GDP growth of a country.


Company A has demand function q=2p+5, and supply function q=10p. What is equilibrium price and quantity


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