Question

why would the cost of a single-serving bottle of orange juice with the same size serving poured from a half-gallon container cost more then the cost of these two products from a large supermarket and from a small corner convenience store. why would someone might be forced to buy the higher-priced orange juice.

Answer 1

This can be understood by the concept of economies of scale which means the average cost would reduce with increasing quantity, in a large super market the cost will be less because they sell in huge volumes which means their average total cost would be much lesser than that of convinience store. Similar is the case with one full gallon than two half gallons where cost of producing two half gallons and packing is a bit higher but someone might be forced to buy at a high price because of the distance of super market from their store, their requirement and their opportunity cost