Abc Xyz

4, Target Customers:

The coffee shop is planned to be built at Dang Van Ngu Street - the area nearby a lot of offices, schools and universities, so the target customers are the youth, office staffs and teenagers.

5, Main products:

- High quality types of coffee, tea, cocktail, juices.

- Homemade cookies, brownies and doughnuts.

- Designer flavored cream.

6, + Factors affect demand of products:

- Price:

- Other Products:

- Income

- Preferences

- Amount of Buyers

+ Factors affecting supply of products:

- Market liberalization

- Input price development

- Trade policies

- Other relevant factors

7. The equilibrium condition of the market for the products (Coffee filters, baked goods, salads, sandwiches, tea, beverages, etc.):

The equilibrium condition of the market for the cafeteria is the situation in which various forces are in balance => the quantity of good (coffee, juice, foods...) that customers are willing and able to buy exactly balances the quantity that sellers are willing and able to sell. That means the demand of consuming is perfectly equal to the given supply (here are the coffee filters, baked goods, salads, sandwiches, tea, beverages, vitamin drinks, etc.) of the coffee shop. Then, both consumers and sellers are satisfied because they all get the result as what they want. 

8. What is the elasticity of our products?

Some factors affect the elasticity:

* Availability of close substitute

* Necessities versus luxuries

* Definition of the market

* Time horizon

Computing the elasticity:

The way an economist determines the sensitivity of quantity demanded to a change in price is called the price of elasticity. The price elasticity of demand lets us know the percentage change we could expect in the quantity demanded for a 1% change in price. The formula for the price elasticity of demand is:

Price elasticity of demand = (% change in quantity demanded) / (% change in price)

We can then assess the...