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

2791 Views

See similar Economics A Level tutors

Related Economics A Level answers

All answers ▸

What are the conditions of perfect competition?


What two policies can the government employ to influence economic growth and inflation?


What are the economic assumptions for a perfectly competitive market?


Explain how a firm's costs of production are affected by the law of diminishing marginal returns in the short run (10)


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:

© 2025 by IXL Learning