Analysis of two proposals for The Zone, Birmingham Custom Essay

Interest rates, consumption and unemployment Analysis of two proposals for The Zone, Birmingham Introduction A recent study conducted by a student from University College Birmingham about The Zone showed that although the demand for its services is relatively inelastic, the current economic conditions point to a reduction in consumer confidence. The increasing costs combine with pessimistic mood to create an uncertain business environment. In economic terms, if the demand is said to be inelastic, price changes in the goods or services hardly affects consumer demand. Intuitively, this would be the case for a services facility like The Zone considering that consumers do not need the services on a daily or regular basis.