Solution: Jubilant FoodWorks owns the Domino’s franchise in India. Recently rising input prices pushed them to increase the average price of their products
Question: Jubilant FoodWorks owns the Domino’s franchise in India. Recently rising input prices pushed them to increase the average price of their products by 11%. CEO, Ajay Kaul, said there had been no noticeable decline in demand. Should we attribute this steadiness in demand solely to Domino’s recent brand awareness campaign in India? Would you advise Kaul that the price elasticity of demand for Domino’s pizza is zero?
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