When buyers are less sensitive to prices, prices can increase and buyers will still buy the product. Inelastic demand positively affects Sift Cupcakes. … "Low buyer price sensitivity (Sift Cupcakes)" will have a long-term positive impact on the this entity, which adds to its value. This qualitative factor will lead to a decrease in costs. "Low buyer price sensitivity (Sift Cupcakes)" is an easily defendable qualitative factor, so competing institutions will have a difficult time overcoming it.