Abstract:

Price elasticity of demand has a significant application in practice, for example in the development of an optimal pricing policy of the company. It should be remembered that the pricing strategy adapted to the market realities and the appropriate price elasticity of products corresponding to the needs of buyers and economic requirements is one of the key elements of the success of each company's operations. For this reason, it is extremely important to draw students' attention to the correct interpretation of indices of price elasticity of demand in the didactic process. In order to make it more attractive, we created the MMikro program of the Faculty of Management at the University of Warsaw. In the didactic process, the program puts the main emphasis on focusing students' attention on the interpretation of received indices of price elasticity of demand and their correlation with the company's revenues and drawing logical conclusions, not on continuous mathematical calculations. The article will also show the possibilities of using the MMikro program to create demand and price-elasticity-of-demand functions in business plans.

Keywords:

Price, pricing policy, demand, business plan, didactics.