The conversation between human and AI assistant.
What is the effect of selling cost on the consumer's demand?
That makes sense. Is there a point at which selling cost can be too low, causing consumers to question the quality of the product?
Yes, there is a balance that needs to be maintained. If the selling cost is too low compared to other similar products on the market, consumers may perceive the product as low quality or less valuable, which can actually reduce demand. On the other hand, if the selling cost is too high, consumers may believe they are paying too much for the product, leading to reduced demand as well.