Ice-Campusades Case Study

When deciding on the opening of a business, we have to take in account the variables that shift our demand's curve: surplus and shortage ( surplus meaning that the curve shifts to the right and shortage will shift to the left). These two come with a variety of factors that affect our business in different ways and are not always the same for every business. In this case, we focus on the ice cream stand "Ice-Campusades" on campus; so the main factors will be: weather, time, advertising, substitutes, and income. Supply would have been a major component to this equation; however, since we have establish that we "order the same number (and the same variety) of ice creams each day from the ice cream suppliers", supply is not being manipulated; turning
At the same time, whenever a cold weather strikes, sells will fall; as eating something cool would be contradicting when your body is already at low temperature. Time also affects weather, because when nighttime arrives, you should receive less consumers; as is not a good idea to eat during night classes. During mid-day and afternoon is when consumers should feel more attracted to the idea of an ice cream; again, very correlated with the weather. These factors are mostly out of our hands since they're part of nature. But, at least we get to the conclusion that cold days and nighttime would result in a shortage for our business; meanwhile, during the middle of a sunny day, we should get our surplus. We can, however, promote our business through
This is because income takes into account how much the student has to spare, and how much is he/she willing to expend that money. When the student recently paid his classes, profits would drop as a sign he is being conservative with his money(shortage). At the day of receiving their paychecks, assuming their work/receive parent's allowance, they would surely be less conservative and probably buy from the business(surplus). Also, if they are cheaper options like hamburgers or churros, student would most likely go for them instead of our ice creams. Therefore, it's not just about knowing when to sell, how to sell, and for how much to sell for; instead, is about knowing what is going to get a customer to decide to buy from stand and not from the