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Factors influencing the PED Brand loyalty The aim of advertising and marketing expenditure by a business is to shift the demand curve to the right and make the demand more price inelastic For example, Coke consumers are more brand loyal to Coca-Cola and refuse to buy Pepsi, even though their taste is very similar Availability of substitutes PED will be more price inelastic (lower) for goods that have fewer substitutes For example, petrol has fewer substitutes and is more price inelastic, whereas chocolate bars have more substitutes and are more price elastic The proportion of income taken up by the product The smaller the proportion of income we spend on a product, the more price inelastic the demand will be For example, a small amount of income is spent on salt, so the demand for salt will be more price inelastic

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