substitute

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Substitute

A good or service that satisfies a consumer's needs or desires just as well or almost as well as a similar good or service. A common type of substitute is an off-brand product; for example, a grocery store may sell its own peanut butter to compete with the on-brand peanut butter it also sells. Often, though not always, the price of a substitute is lower than that of the original product, but they follow generally the same trends. For example, if demand for the on-brand peanut butter rises, its price increases, but so does the price of the off-brand peanut butter, because consumers are willing to pay more for peanut butter generally, but are still looking for a bargain.

substitute

See swap.
References in periodicals archive ?
The discussion in this section regarding reversibility and substitutability also can be linked to the different approaches mainstream economists and ecologists adopt for specifying a fair bequest package for future generations, given that one has accepted some ethical obligation to the future (see Section III).
The idea that substitutability is dependent on the situation in which the product is used was put forward on account of the poor performance of some of the possible models that can be employed to explain purchasing patterns on the basis of product features and product utility[14-16].
The extension of substitutability concept to nonbioequivalent EQ drugs (introduced by Anvisa's RDC 58/2014) (1) not only loosened safety standards for drug interchangeability but also, what is worse, overlooked the marked health risks posed by switching critical dose drug products which are not bioequivalent.
Table 1 shows, in the form of elasticities, how these three variables depend on the number of firms/products N, and on the parameter [THETA] [member of] {[theta], [lambda], [gamma]}, which captures--loosely speaking--the substitutability between the goods.
It was expected that downward-sloping demand curves would be observed, suggesting that as prices go up, less is purchased, and to suggest substitutability between the brands.
In the case of imperfect substitutability, migration can produce price effects.
Much like the good substitutability of person the poem prefers to metaphor's private transmutations of figure, substitution can happen as long as it's linked to metonymy or anaphora.
How does product substitutability affect competition strategies?
Next, Section 5 defines different notions of substitutability that we believe are adequate for component replacement under behavioural adaptation.
The substitutability means that when the Fed buys short-term debt from banks, that does not insure that the money banks are receiving in payment will be lent out.