The market use to not be as elastic as there were not many other options for consumers. However, with increased competition in the market has become increasingly elastic and the high prices of Whole Foods has resulted in a decrease in the quantity demanded. This can be seen in the graph depicting the share of Whole Food which drops drastically. This supports that consumers no longer want to purchase the goods at high prices and the market for organic and natural foods has become more elastic. The increasing elasticity of the market can also be attributed to the free-exit-free-entry
The market use to not be as elastic as there were not many other options for consumers. However, with increased competition in the market has become increasingly elastic and the high prices of Whole Foods has resulted in a decrease in the quantity demanded. This can be seen in the graph depicting the share of Whole Food which drops drastically. This supports that consumers no longer want to purchase the goods at high prices and the market for organic and natural foods has become more elastic. The increasing elasticity of the market can also be attributed to the free-exit-free-entry