Summer Fun: The Economics of the Lemonade Stand
Part 2: Strategies
Why should you charge 10 cents for a glass of your lemonade? Because people will pay it. You could discover this through trial and error, or you could hear it from someone you know. No matter where you hear it, you understand that some prices are too high.
Why are they too high?
You also need to consider where you set up your lemonade stand. If you live on a dead-end street where not many people walk regularly, your chances of selling much lemonade are slim. However, if you set up shop in front of a busy grocery store, then you'll probably have no trouble selling all the lemonade you make.
seems easy to set up a lemonade stand. Throw some lemonade
in a pitcher, get some glasses, make a sign, and you're
there. But if you want to make some money to buy that book
or that video game or see that new cool movie, remember to
think through the economics of your little business. You'll
be much happier, and you'll probably have more money.
Graphics courtesy of ArtToday