demand headlines

1. Complementary goods/services: Nike Makes New Shoes, Stocks Skyrocket
2. Substitute goods/services: Timbers Funding Ended, REAL Football Team to Come for Oregon
3. Elastic demand: Pepsi Shuts Down, Coke Sales Triple
4. Inelastic demand: Milk Reaches Ledge and Dairy Prices, Customers Grumble and Businesses Hurt

Milk Reaches Ledge and Dairy Prices, Customers Grumble and Businesses Hurt

With dramatic droughts in the midwest resulting in unfed cows, dairy and milk prices skyrocket. While customers claim they can go without most dairy products, milk is an
essential most cannot get by without. Albertsons store manager in East Foothills, CA, Larry,offered comment on the scene, “It’s difficult to have such shortages combined with such high prices. The store hardly ever has enough milk in the fridges to last a week of sales anymore, and customers are cranky.” It was evident that throughout the country, the increased prices are not only hurting large businesses and customers.
Small businesses and local stores are really feeling the pressures of price. Marge and Bob owners of Homegrown and Locally Owned, are only two miles from Larry’s business, but feel the pain much more than Larry does. “Our produce and dairy stand is our main source of income since we’ve both retired,” commented Marge. “ “Since the increase in prices, we can’t afford to stock up any dairy prices in our store,” admitted Bob.
But the big hit in the wallet goes to the primary consumers of dairy products. These are the local bakeries which were once booming here in East Foothills. Already, one hispanic pasteleria has gone out of business with the Cupcake Shoppe and Bundt-Cake Bakery struggling as well. Mary, the head baker of the Bundt-Cake Barey had little to say positively on the matter, “It has been difficult to complete our custom orders, especially larger cakes requiring more butter and milk than our mini-bundts.” However, the Cupcake Shoppe appears to be finding some stride. “With the high prices and consistent demand for our cupcakes, we have had to look at alternatives. We have recently discovered some alternative recipes that are primarily vegan that taste delicious. We are excited to start selling them to the public later this week!”
With adversity, comes success. Even though the prices have hindered so many and hit the wallets hard; some are still able to rise above it and find new ways to make products available to their customers. Yet, hopefully the drought subsides and the rains return to the midwest soon.