Microsoft charges a substantially lower price for a software upgrade than for the initial purchase of the software. This implies that Microsoft views the demand curve for the software upgrade to be

A) more elastic than the demand for the original software.
B) upsloping rather than downsloping.
C) less elastic than the demand for the original software.
D) of less value than the original software.

Software Upgrade

The process of replacing an existing software with a newer or better version to improve functionality or fix issues.

Demand Curve

The demand curve is a graphical representation of the relationship between the price of a good and the quantity demanded, showing how the quantity demanded changes in response to changes in price.

Initial Purchase

The first acquisition of a good or service by a consumer, often marking the beginning of the consumption experience.